State Street Investment Management is stepping into unproven territory with recent launches, but most of its low-cost offerings remain competitive, supporting an Above Average Parent Pillar rating.
In June 2025, State Street rebranded State Street Global Advisors to State Street Investment Management, complete with a new logo. The update maintains consistency with other State Street product lines and provides greater clarity to investors. According to State Street, the rebrand does not change the firm’s investment philosophy, product strategy, or leadership.
Since taking over as the CEO in 2022, Yie-Hsin Hung has pushed the firm to move more quickly in product development. Hung hired Anna Paglia as the chief business officer in 2024 and Mark Alberici as the firm’s first head of product innovation in 2025. In late 2024 and early 2025, State Street launched unique and thematic exchange-traded funds through partnerships with firms like Apollo and Galaxy Asset Management. State Street’s private credit ETF is its first to include private assets in the ETF structure, and it remains to be seen how it will navigate liquidity constraints. The ETFs launched with Galaxy focus on the blockchain and digital assets.
Although some of these new strategies are riskier and more niche than the core ETFs that represent the bulk of State Street’s USD 1.7 trillion in assets under management, they are backed by the firm’s solid capital markets group and risk-management team. The firm is adept at handling rapid flows from short-term investors using its products as trading tools, which bodes well for its ability to manage novel liquidity challenges.
State Street continues to compete on price. Roughly 90% of its share classes carry below-average expenses, and–by the firm’s estimate–fee reductions in the fourth quarter of 2023 have saved investors more than USD 60 million in costs through March 2025.
Note: This share class' Parent Pillar rating is analyst-driven, as its Branding Name, State Street (Branding Name ID: BN00000A2O), is covered by Morningstar Manager Research.
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