Morningstar examines how fund firms have divided the management-fee pie over the past seven years. By estimating fees based on fund revenues, asset levels, and fee structures, the study categorizes data by firm, asset class, and investment type (active vs. passive). While the estimates aren’t exact due to accounting nuances and asset fluctuations, they provide a useful approximation of revenue trends and market-share dynamics in the fund industry.
Some findings include:
Despite having the lowest average management fees among the top 11 firms, Vanguard commands the largest share of fee revenue at 13 percent. Even if the same cuts announced last week were made in 2024, projections show Vanguard would still lead with a 12.7 percent share.
BlackRock, the largest asset manager, holds 11 percent of the U.S. fund market by assets under management (AUM) but earns just 6.8 percent of fee revenue because of a heavily passive fund and iShares exchange-traded fun
