Asset managers. Not doing well with my bets on these companies. I continue to hold losing positions in BEN and STT.
Eventually I expect people will come back into the market and commit money again to mutual funds and active managers. Doesn't much seem like it now though.
I'll take a position in FII as it drops to a low.
si.advfn.com
About a 6% dividend yield and a still profitable company.
"Federated Investors, Inc. is one of the largest investment managers in the United States, managing $344 billion in assets as of Sept. 30, 2008. With 147 mutual funds and a variety of separately managed account options, Federated provides comprehensive investment management to nearly 5,400 institutions and intermediaries including corporations, government entities, insurance companies, foundations and endowments, banks and broker/dealers."
Sells for below 2% of assets under management. In decent times, that is considered a bargain. Offset to this positive is that FII manages a lot of municipal bond funds (which don't command great profit margins compared to stock funds). And there is some concern that in the current environment there is, or will be, fee cutting by FII to keep municipal bond fund investors. |
