At BNY Mellon, “we saw a pretty hearty rally in fixed income and international equities,” said Jamie Lewin, head of manager research for BNY Mellon Investment Management, New York. “After a pretty anemic few quarters,” the most recent period was marked by “flows back into fixed income,” he added.
Mr. Lewin said BNY Mellon has “seen a big rally in active management” in January.
“Although it's dangerous to make too much of an inference in that, so far it seems to be a great environment for active management,” Mr. Lewin said. “I'm certainly expecting better results for active management this year than we got last year.”
Parent company Bank of New York Mellon reported $4 billion in net inflows to fixed income for its BNY Mellon Investment Management and wealth management businesses during the fourth quarter of 2014; in the third quarter, fixed income was flat.
BNY Mellon Investment Management and wealth management businesses reported $1.71 trillion in combined AUM as of Dec. 31, up 4% from three months earlier and 8% higher than a year prior.
Invesco saw net inflows of $2.5 billion during the quarter, driven by good performance and strong inflows in its European strategies.
“They have a product, global targeted returns, that's generated meaningful flows due to really good performance,” said Mr. Shutler.
Janus Capital Group Inc., Denver, experienced fixed-income net inflows of $2.8 billion for the quarter ended Dec. 31, compared to net outflows of $300 million in the previous quarter. In fact, the firm closed the quarter with $2 billion in net inflows overall, ending a streak of net outflows for 21 straight quarters since June 30, 2009.
Janus finished the fourth quarter with $183.1 billion in AUM, up 5% from Sept. 30 and up 5.3% from the previous year.
“The demand for global strategies and the change within fixed income we saw from a certain manager are still evident so far,” said Mr. Lee. (Although Mr. Lee did not name the manager, it is logical to assume he was talking about Mr. Gross.)
While Legg Mason experienced equity net outflows of $1.1 billion for the fourth quarter, vs. net inflows of $1.6 billion for the quarter ended Sept. 30, the Baltimore-based company saw net inflows of $9.9 billion into fixed income after net outflows of $900 million in the previous quarter.
Legg Mason reported $709.1 billion in assets under management as of Dec. 31, flat from three months earlier but up 4% from year-end 2013.