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"We're pleased with M.S.C.I.'s decision," said Steven Schoenfeld, head of international equity management for Barclays Global Investors, the world's biggest manager of index funds, in San Francisco.
Malkiel himself is now a director of the Vanguard Group, the biggest manager of index funds.
Vanguard is the largest manager of index funds for individual investors.
Vanguard, of Malvern, Pa., is the world's leading manager of index funds for individual investors.
The nation's largest manager of index mutual funds, Vanguard recently filed with regulators to add exchange-traded versions of five of its index funds.
Thomas Taggart, a spokesman for Barclays Global Investors, the world's largest manager of index funds for institutional clients like pension funds and one of the leading sellers of exchange-traded funds, is more than willing to mock his rival.
Similar(48)
These days, the largest shareholders are almost always big asset management firms, and in many cases, managers of index funds.
Shares of WorldCom rose 5 cents yesterday, to $1.29, erasing earlier losses this week after Standard & Poor's removed the company from its 500-stock index, a move that led managers of index funds to sell the shares.
The American depository receipts of British Petroleum plunged by the end of the day as managers of index funds sold shares of Amoco, which will be replaced by the Firstar Corporation in the Standard & Poor's 500-stock index once Amoco is acquired by British Petroleum.
José Azar *12, an assistant professor of economics at the University of Navarra's IESE Business School in Spain, points out that two of the largest managers of index funds in the U.S., BlackRock and Vanguard, control a sizable portion of virtually every major company in the market.
Even managers of index funds—which seek to do nothing more exacting than track the stockmarket as a whole—have enjoyed juicy margins.There have been only two important exceptions to this rule: Vanguard, a fund-management firm devoted to low fees; and exchange-traded funds (ETFs), a relatively new breed that is, in essence, an index fund built into a stock.
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