Ingo Walter
ABSTRACT
The asset management industry represents one of the most dynamic parts
of the global financial services sector. Funds under institutional management
are massive and growing rapidly, particularly as part of the resolution
of pension pressures in various parts of the world. The industry is not,
however, well understood from the perspective if industrial organization
and international competition, which is the focus of this paper. It begins
with a schematic of asset management in a national and global flow-of-funds
context, identifying the types of asset-management functions that are preformed
and how they are linked into the financial system. It then assesses in
some detail the three principal sectors of the asset management industry
' mutual funds, pension funds, and private-client assets, as well as foundations,
endowments, central bank reserves and other large financial pools requiring
institutional asset management services. Relevant comparisons are drawn
between the United States, Europe, Japan and selected emerging-market countries.
This is followed by a discussion of the competitive structure, conduct
and performance of the asset management industry, and its impact on global
capital markets.
Walter: (212) 998-0707 iwalter@stern.nyu.edu
To request a copy of this paper click here
The Finance Department Working Paper Series has been generously sponsored
by