Banks Set To Profit As Asset Managers Struggle

Not just hedge funds in particular… Asset Managers face growing problems Since the financial crisis, it has been banks that have borne the brunt of regulatory changes, which when coupled with hefty fines regarding pre-crisis actions and near zero interest rates, have crippled profitability. While banks have struggled, asset managers have been able to push ahead, although the rise of passive investing has dented revenues, asset and wealth management has become a fruitful area for banks and financial services’ companies looking to expand outside their traditional lines of business.   However, according to a new report from Morgan Stanley, this…