Vanguard is number one!

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mhalley
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Vanguard is number one!

Post by mhalley » Sat Jun 07, 2014 8:41 am

Congratulations to Vanguard in becoming the number one provider of 401k plans in the US.

" Vanguard Group Inc. managed the most money in 401(k)-type retirement plans last year, passing longtime leader Fidelity Investments.
Vanguard had $613.5 billion in defined contribution assets as of Dec. 31, compared with $612.4 billion for Fidelity, according to Pensions & Investments, a trade publication."

http://www.moneynews.com/Personal-Finan ... id/575624/
Mike

Rog-Kat
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Re: Vanguard is number one!

Post by Rog-Kat » Sat Jun 07, 2014 8:45 am

"Vanguard" has always been number 1 in my book..

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cfs
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Re: Vanguard is number one!

Post by cfs » Sat Jun 07, 2014 9:31 am

Interesting.

"In the first four months of 2014, U.S. equity index funds attracted $30.4 billion in deposits while actively managed funds suffered redemptions of $5.9 billion, Morningstar data show."

"Over the last 15 years active management has been hard-pressed to justify itself"

Thanks for reading.
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gabriel1970
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Re: Vanguard is number one!

Post by gabriel1970 » Sun Jun 08, 2014 4:53 pm

I learn BlackRock group is world's number one overall asset manager, and Vanguard is number two. Anyone has insight into what did BlackRock do right?

Levett
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Re: Vanguard is number one!

Post by Levett » Sun Jun 08, 2014 5:20 pm

"Over the last 15 years active management has been hard-pressed to justify itself"

I guess we should expect Vanguard to ditch all its Wellington Management funds real soon, eh? ;-)

Lev

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ElJay
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Re: Vanguard is number one!

Post by ElJay » Sun Jun 08, 2014 5:53 pm

In January I got my first exposure to a Vanguard 401k. I'm happy to have access to the index funds I want, but their website (run by a third party, Ascensus) leaves something to be desired. Viewing my transaction history requires Java or ActiveX, which with the explosion of tablets and mobile devices seems quite limiting today.

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Taylor Larimore
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Very good news.

Post by Taylor Larimore » Sun Jun 08, 2014 5:59 pm

Congratulations to Vanguard in becoming the number one provider of 401k plans in the US.
mhalley:

This is very good news for 401k Plan participants.

Thanks for sharing.

Best wishes.
Taylor
"Simplicity is the master key to financial success." -- Jack Bogle

peppers
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Re: Vanguard is number one!

Post by peppers » Sun Jun 08, 2014 6:05 pm

gabriel1970 wrote:I learn BlackRock group is world's number one overall asset manager, and Vanguard is number two. Anyone has insight into what did BlackRock do right?

Acquisitions. Barclay's Global Investors was a big one.
"..the cavalry ain't comin' kid, you're on your own..."

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cfs
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Re: Vanguard is number one!

Post by cfs » Sun Jun 08, 2014 6:14 pm

gabriel1970 wrote:Anyone has insight into what did BlackRock do right?
Well, they have done a few things right, this is from their web site:

Innovations & milestones

Acquires State Street Research. (2005)
Acquires Merrill Lynch Investment Managers. (2006)
Acquires Quellos Group, LLC. (2007)
Acquires Barclays Global Investors. (2009)
U.S. Treasury contracts with BlackRock to help manage assets under the Troubled Asset Relief Program. (2009)
Bank of Greece hires BlackRock Solutions to provide analysis and advice on the Greek banking system. (2011)
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steve roy
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Re: Vanguard is number one!

Post by steve roy » Sun Jun 08, 2014 7:28 pm

Ah. Corporate acquisitions! That's the ticket!

slick_dealer_05
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Re: Vanguard is number one!

Post by slick_dealer_05 » Sun Jun 08, 2014 9:06 pm

gabriel1970 wrote:I learn BlackRock group is world's number one overall asset manager, and Vanguard is number two. Anyone has insight into what did BlackRock do right?
Heard of Thrift Savings Plan? Blackrock manages them for the Federal govt -
https://www.tsp.gov/investmentfunds/fun ... ment.shtml

Levett
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Re: Vanguard is number one!

Post by Levett » Mon Jun 09, 2014 9:52 am

Is being number one necessarily an advantage?

Well, consider reading the recent Financial Times article: "US pensions 'cash negative' by 2016."

Lev

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cfs
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Re: Vanguard is number one!

Post by cfs » Mon Jun 09, 2014 10:01 am

US Pensions

Cash negative by 2016? What happened? A few years back that projection read "...negative by 2010" . . .

Thanks for reading.
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jimmyrules712
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Re: Vanguard is number one!

Post by jimmyrules712 » Mon Jun 09, 2014 10:18 am

ElJay wrote:In January I got my first exposure to a Vanguard 401k. I'm happy to have access to the index funds I want, but their website (run by a third party, Ascensus) leaves something to be desired. Viewing my transaction history requires Java or ActiveX, which with the explosion of tablets and mobile devices seems quite limiting today.
FYI I have my 401k at Vanguard and I log on to the Vanguard website to view and manage it. It sounds like to me that your 401k is with Ascensus and it simply has Vanguard funds in it.

dylanh
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Re: Vanguard is number one!

Post by dylanh » Mon Jun 09, 2014 10:24 am

Unfortunately I've never been that lucky with my 401k, but that is great to hear!!!

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sgr000
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Re: Vanguard is number one!

Post by sgr000 » Mon Jun 09, 2014 11:13 am

cfs wrote:
gabriel1970 wrote:Anyone has insight into what did BlackRock do right?
Well, they have done a few things right, this is from their web site:

Innovations & milestones

Acquires State Street Research. (2005)
Acquires Merrill Lynch Investment Managers. (2006)
Acquires Quellos Group, LLC. (2007)
Acquires Barclays Global Investors. (2009)
U.S. Treasury contracts with BlackRock to help manage assets under the Troubled Asset Relief Program. (2009)
Bank of Greece hires BlackRock Solutions to provide analysis and advice on the Greek banking system. (2011)
Ok, no question but what Blackrock has played the growth-by-acquisition game quite well.

But also note they've done a few things that are just plain right for investors: they have, in some plans, provided broad index funds at rock-bottom expenses. For one example, they are the current providers of index funds to the federal TSP. For another example, my 401(k) contains the following index funds supplied by them, at notably low expenses:

Code: Select all

  Asset        Index                ER
  =====        =====                ==
  US Bonds     Barclays US Aggr     0.07%
  US Stock     R3000                0.07%
  Non-US Stock MSCI AC World Ex-USA 0.16%
Now, maybe they do other things that are not so good for investors; I'll hold my tongue in that regard. But at least we should give them credit for doing this much right.

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