Defined contribution plan assets under management (AUM) reached $5.95 trillion in 2016, says a recent survey of money managers.
The survey, conducted by Pensions & Investments (registration required) said that the AUM was 8.6% higher than in 2015. It also said that the DC plan assets the managers handled internally rose 9.5% from 2015, to $5.25 trillion.
AUM rose for most of the largest DC money managers, according to P&I. in addition, said DC consultants P&I cited, passively managed funds were behind the gains by the money managers that did the best in 2016.
Among them was DiMeo Schneider & Associates’ Principal and Director of Research Analytics Matthew Porter, who told P&I that for the last six to nine months, some actively managed funds have gained, but that actively managed funds are behind for three-, five- and seven-year returns. Porter added that he believes the prevalence of passively managed funds will change when active funds’ performance exceeds that of passive funds.
The survey, conducted by Pensions & Investments (registration required) said that the AUM was 8.6% higher than in 2015. It also said that the DC plan assets the managers handled internally rose 9.5% from 2015, to $5.25 trillion.
AUM rose for most of the largest DC money managers, according to P&I. in addition, said DC consultants P&I cited, passively managed funds were behind the gains by the money managers that did the best in 2016.
Among them was DiMeo Schneider & Associates’ Principal and Director of Research Analytics Matthew Porter, who told P&I that for the last six to nine months, some actively managed funds have gained, but that actively managed funds are behind for three-, five- and seven-year returns. Porter added that he believes the prevalence of passively managed funds will change when active funds’ performance exceeds that of passive funds.
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