John W. Rogers Jr., 41
Founder and president, Ariel Capital Management
"I think that there's going to be actually a renaissance of smaller firms. After this market finally has its correction and decision-makers go around looking for experienced portfolio managers, they'll find them at boutique small and midsized firms that have a special niche.
"People will be less comfortable in large fund complexes that try to be all things to all people but maybe don't have that true expertise and true passion for investing in a specific niche. The shakeout will distinguish the difference more clearly between boutique firms that have passion, belief and experience in a niche vs. large firms that don't have that.
"We were the first African-American firm to start an institutional management company, in 1983, and in 1986 we were the first African-American money management company to start a publicly traded mutual fund. Even today there are no African-American firms that have a mutual fund that's in the newspaper every day -- except for us.
"More corporations will have to start including minority firms in 401(k) plans; that will be a catalyst for more funds to get started by minority firms. People follow the market. Enlightened corporations have been willing to open up pension funds to give minority firms a shot, but they've yet to open up the 401(k) plans. And that's where all the assets will be.
"Over time the regulators are going to get involved in the diversity issue. It's no secret that the Rev. Jesse Jackson has talked about the lack of diversity on Wall Street, and you see Bill Bradley talking about the importance of race and diversity. You want to have Wall Street and LaSalle Street and Montgomery Street have the kind of diversity that makes up the world."