Asset management firms implement investment strategies to achieve objectives concurrent to funds offered by these companies. Asset management firm clients invest in funds, in which the fund managers provide professionally managed portfolios of securities. The funds offered by such firms provide diversification to portfolios, which can have cost benefits since investors do not have to purchase multiple securities in their portfolios. However, asset management firms charge fees to invest in their funds and have minimum investment requirements.

Investors looking for funds that can be purchased on a share-by-share basis, rather than investing a specified minimum dollar value, are able to invest in exchange-traded funds (ETFs), which are offered by some asset management firms. The following five asset management companies are well respected and can provide investment opportunities for nearly any investor's needs.

The Vanguard Group

The Vanguard Group is one of the most well-known investment management companies and caters to over 20 million clients. Vanguard was founded by John C. Bogle on May 1, 1975, in Valley Forge, Pennsylvania. Bogle was Wellington Management Company's chairman and decided to start Vanguard as a division of Wellington. Since 1975, Vanguard has grown its total assets to $3 trillion as of Dec. 31, 2014. It offers approximately 280 funds, 160 of which are U.S. funds. Vanguard's popular funds include the 500 Index, Total Stock Market and FTSE All World Funds.

Pacific Investment Management Company, LLC

Pacific Investment Management Company LLC (PIMCO) is a global asset management firm that was co-founded in 1971 in Newport Beach, California, by the bond king Bill Gross. Since the inception of PIMCO, the firm has grown its assets under management (AUM) to $1.43 trillion as of Dec. 31, 2015. The firm houses over 250 portfolio managers, who have an average investment experience of 14 years. PIMCO offers over 100 mutual funds, which range from fixed-income, equity and commodity-focused funds.

BlackRock, Inc.

BlackRock Inc. (NYSE: BLK) was founded in 1988 as an asset management firm with $1 billion in assets under management as a division of the BlackRock Group. The firm assumed the name BlackRock in 1992, and by the end of year, had $17 billion in assets under management. As of Dec. 31, 2015, the fund has $4.6 trillion in assets under management, which makes it the largest investment management firm. It has over 12,000 employees in over 70 offices in 30 countries. As of Dec. 31, 2014, BlackRock's ETF division, iShares, had $1.03 trillion in AUM globally, and over 700 ETFs and 100 mutual funds.

Fidelity Investments

Fidelity Management & Research Company was founded in 1946 by Edward C. Johnson II. As of Sept. 30, 2015, Fidelity has 24 million customers with $5 trillion in combined assets. Additionally, it has $2 trillion in global AUM. Fidelity offers over 350 mutual funds, which include domestic equity, foreign equity, sector-specific, fixed-income, index, money market and asset allocation funds. It offers many notable large funds, which include the Government Cash Reserves and Contrafund. The Fidelity Government Cash Reserves Fund and Fidelity Contrafund have $121 billion and $102.9 billion in total assets, respectively.

Invesco Ltd.

Invesco Ltd. (NYSE: IVZ) is an asset management firm whose investment management services date back to the 1940s. It announced a $775.6 billion preliminary month-end AUM on Dec. 31, 2015, and it offers over 100 mutual funds. According to the company, its 2% month-over-month decrease in AUM was caused by multiple factors, such as the volatile market conditions and net long-term outflows. The firm offers over 100 ETFs through its Invesco PowerShares Capital Management LLC division.

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