02.19.20
Franklin Buys Legg Mason in an Effort to Survive Passive Era
by: Annie Massa; Ed Hammond
Franklin Resources and Legg Mason on Tuesday confirmed they will combine in an effort to compete as the increasing popularity of low-cost index funds challenges their industry. Franklin agreed to buy Legg Mason to create a firm with a combined $1.5 trillion in assets. Over the past decade, US equity index mutual funds and ETFs have taken in about $1.6 trillion, while their active counterparts lost approximately $1.4 trillion, according to data from the Investment Company Institute and Bloomberg Intelligence.
Read the full article on Bloomberg