BROWSE BY TOPIC
Stories of Interest
- Canada's CIBC Completes $5Bn PrivateBancorp Buy
- Word ‘Women’ Literally Never Appears in U.S. Senate’s 142-Page Health-Care Bill
- Stephen Pierce, Goldman Sachs Global Head of Equity Markets, To Retire
- Al Gore 'Not Very Smart,’ But Became Filthy Rich Using Simple Investing Formula - Charlie Munger
- U.S. Regulators, Lawmakers Support Volcker Rule Revamp at Hearing
- Morgan Stanley Opts for Frankfurt as New EU Hub
- A New Risk for Goldman, Morgan Stanley in Stress Tests (subsc reqd)
- A Trump Bump for Law Firm of President’s Lawyer - Kasowitz Benson Torres
- JPMorgan, BofA, Goldman, Citi, Wells Fargo Pass Fed's Stress Test
- Blackstone Stock Still Trading at $31 - Its IPO Price From 10 Years Ago
- NJ Resident and NY-Based Global FX Club Charged with Solicitation Fraud, Misappropriation - CFTC
- Senate Republicans Release Plan to Replace Obamacare - The Details
- Berkshire Hathaway Throws $1.5Bn Lifeline to Canada's Home Capital
- Inside Nomura: Day in the Life of a Junior Banker
- Inside Travis Kalanick’s Resignation as Uber’s C.E.O.
- Creative Planning, KS Investment Firm, Spurring Change on Wall Street
- SEC Obtains Judgment Against Attorney Who Defrauded Escrow Clients
- SEC Files Fraud Charges Against Stock Promoters in Market Manipulation Scheme
- Power Lunches and Dinners in New York, London, Washington
- Banks to Cut $1.2Bn in Research Spending, Analyst Jobs - McKinsey
We seek to provide information, insights and direction that may enable the Financial Community to effectively and efficiently operate in a regulatory risk-free environment by curating content from all over the web.
Stay Informed with the latest fanancialish news.
NEWSLETTERS & ALERTS
BlackRock Axes Over 30, Revamps Active-Equity Group
BlackRock may be the world’s biggest money manager, but size doesn’t mean it’s immune from sluggish fund performance and investor withdrawals. Which led CEO Larry Fink to move forward with some major changes to BlackRock’s actively managed equities business. Mr. Fink now sees computer models and data science as the future of active-equity management.
On Tuesday, the firm announced that over 30 people were fired – including 5 of its 53 fundamental portfolio managers, and about $6 billion in funds were moved into cheaper funds which rely more on computers than on humans for stock-picking. Fees will be reduced by around 19% to 56% on the moved funds. The firm is also moving assets from active-equity funds to an income series that produces higher dividend yields.
On the flip side, the firm expects to increase spending on data-mining techniques, with an eye to improving investment performance. And, over the next 18 months, Mark Wiseman, who heads up BlackRock’s active equities operations, expects to hire about the same number of employees who were laid off – though with different pedigrees. BlackRock will be looking for people with deep research capabilities, technological and data analytics skills, and will put more emphasis on hiring in the emerging markets, especially Asia.