Greggory Warren: Given the cyclical and secular headwinds the U.S.-based asset managers are facing, we've taken a much harder look at the moat sources, economic moats, and moat trends of the companies we cover.
At this point, we believe that only two of the U.S.-based asset managers--BlackRock and T. Rowe Price--have wide economic moats, as they not only have the ability to differentiate themselves from the competition with low-cost fund offerings and repeatable investment strategies but have demonstrated a willingness and an ability to prudently adapt to the changing competitive environment.
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Greggory Warren does not own shares in any of the securities mentioned above. Find out about Morningstar’s editorial policies.