10 Best Asset Management Stocks to Buy According to Hedge Funds

4. State Street Corporation (NYSE:STT)

Number of Hedge Fund Holders as of Q3 2024: 45

State Street Corporation (NYSE:STT) is an asset management company providing financial products and services to institutional investors worldwide. It offers investment servicing products and services, including custody, accounting, regulatory reporting, investor, and performance. The stock is up by about 25% for the year in response to resilient financial performance in the face of market volatility. With over $330 million in servicing fee wins in the last 12 months, State Street Corporation (NYSE:STT) has successfully obtained new mandates. This illustrates State Street’s capacity to draw in and hold on to customers in a cutthroat industry.

The asset manager delivered impressive third-quarter results on October 15, 2024. It logged a 21% increase in revenue to $3.2 billion as net income increased 3% to $730 million. State Street Corporation (NYSE:STT)’s Global Advisors division also reported record quarterly net flows of $100 billion. State Street wants to increase net interest income by 4% to 5% and total fee revenue by 4% to 5%. The introduction of 20 new ETFs and a collaboration with Apollo Global Management (NYSE:APO) for private market opportunities are two other recent initiatives that should support the expected growth.

State Street Corporation (NYSE:STT)  remains focused on pursuing growth prospects while preserving a solid capital position. With its share buyback program, it has been cautious, repurchasing just $0.3 billion of a substantial $5 billion authorization in the first half of 2024.