Latest news with #StateStreet
Boston Globe
2 hours ago
- Business
- Boston Globe
State Street consolidating Boston offices, pulling out of Fort Point
For at least the past five years, State Street has used One Channel Center as the headquarters of its asset management arm, which recently changed its name from State Street Global Advisors to State Street Investment Management. Sarnoski said the asset management division will move into two floors at One Congress, including one where a new trading desk is being built. Sarnoski said the primary reason for the office consolidation is to make the workforce more efficient, by putting more people under the same roof. Starting in the fall of 2023, State Street required workers to be in the office at least four days a week, one of the most aggressive post-COVID return-to-office mandates in the city. Advertisement 'The reason here [for the move] is purely we've seen the value of working in person,' Sarnoski said. 'It's been reinforced with our return-to-office mandate. ... It makes much more sense to have people in person in the same building.' Advertisement Cost savings, he added, is also a benefit, though not the driving force. State Street last week told investors it would take a $100 million charge to account for severance packages associated with layoffs of 900 people across its global workforce; the move out of One Channel Center is unrelated. (The company declined to say how many Massachusetts jobs were cut.) State Street still has several years left on its lease with landlord Tishman Speyer. Sarnoski said it's possible State Street will try to sublease the space, but the company is also talking about a deal to buy out the rest of the lease so Tishman Speyer can look at new tenants to fill the building, and offer a lease that lasts for longer than a few years. (State Street's lease expires at the end of 2029.) State Street is one of Boston's biggest employers, and there are only a few that could use an office building as large as 500,000 square feet. For comparison, Pawtucket, R.I.-based Hasbro and P&G's Boston-based Gillette division, two big employers currently considering moves in Boston, are seeking offices that are roughly half that size. Commonwealth Ventures and Ares Management began developing the building and its adjacent 970-space garage for State Street more than a decade ago. The building opened in late 2014, and it was Advertisement Tom Ready, a board member at the Fort Point Neighborhood Association, said the departure would have a relatively low impact on the surrounding neighborhood, in part because State Street employees have tended to use the corporate cafeteria instead of eating out at local restaurants. 'They've been consolidating their footprint over time and reducing the size of their workforce in Greater Boston,' Ready said of State Street. 'It's not a surprise to us that they're either moving out entirely or don't require the full building anymore. [But] it is a surprise they're leaving before their lease is up.' Jon Chesto can be reached at
Yahoo
4 days ago
- Business
- Yahoo
Morningstar: 3 ETF Trends to Watch During 2025's Second Half
In the first half of the year, investors poured $540 billion of new money into exchange-traded funds, and firms launched 464 new ETFs, according to data from Morningstar. Some of the research firm's ETF predictions for 2025 have already come to fruition, including active ETFs outnumbering their passive counterparts and the Vanguard S&P 500 ETF (VOO) surpassing the SPDR S&P 500 ETF Trust (SPY) as the world's largest ETF. But in the second half of the year, Zachary Evens, a manager research analyst for Morningstar, told that public-private ETFs, ETF share classes and even more active ETFs are the trends to watch. Growing Comfortability with Private Asset ETFs, PRIV A major discussion in the ETF space centers on the arrival of private market investing. State Street and Apollo Global Management introduced the SPDR SSGA Apollo IG Public & Private Credit ETF (PRIV) in February—a first-of-its-kind private credit ETF. The fund has $139.4 million in assets under management and, while flows were initially muted, they've since picked up. State Street filed for another private credit ETF, the SPDR SSGA Short Duration IG Public & Private Credit ETF, in May. Evens said he thinks investors will slowly become more comfortable with these relatively illiquid securities in such liquid vehicles as the ETFs establish track records and gain assets. 'Hopefully, we get more transparency also on what's going on behind the scenes to make investors comfortable—that the ETF is delivering what it says it delivers,' he added. Potential Approval of ETF Share Classes ETF share classes haven't been approved yet, but Evens expects that will change in the latter half of the year. Firms like Thornburg Investment Management are already seeking approval to offer these ETF/mutual fund hybrid structures. 'When that's approved, there should be a lot happening in the space,' Evens said, adding that it's unclear whether the SEC will approve filings one by one or in a batch. 'It will be interesting to see how fund companies react and how quickly they're able to attach those share classes to their existing mutual funds.' More Active ETFs By the end of the first half of the year, there were 2,226 active ETFs and 2,157 passive ETFs on the market. Evans said the acceleration of active ETFs is a trend investors should continue to watch in the second half of the year. 'Active ETFs only make up about 10% of the ETF universe, so despite having more active ETFs than passive ETFs, they still claim relatively little market share in the whole ETF universe,' Evans said. 'It will be interesting to see not just in the second half of this year but in years to come if assets will continue to gravitate towards active ETFs and if they can take out a meaningful chunk in passive ETFs' lead on the market share side.' He added that a lot of the growth has been in the less traditional active space. But more fund companies are launching more traditional discretionary actively managed funds, and there has been a select success among firms that have tried that path, so a trend to watch is whether more traditional active strategies in the ETF wrapper can achieve sustained success. Permalink | © Copyright 2025 All rights reserved Sign in to access your portfolio
Yahoo
4 days ago
- Business
- Yahoo
BlackRock Tops $12T in AUM. State Street Profits Tumble
Much of Wall Street is expecting a possible market slowdown in the second half of the year, so it's a good thing it hit some high notes beforehand. It's earnings season, which is often a time to celebrate victories, and BlackRock hit a big one. The New York-based firm reported Tuesday that its assets under management grew to a record $12.5 trillion in the second quarter, up 18% year over year, putting it in a league of its own. Still, shares slid more than 5% on Tuesday, with BlackRock CEO Larry Fink attributing the move to investor concerns over the company's expenses. Meanwhile, Boston-based competitor State Street reported $5.1 trillion in AUM as well as $49 trillion in assets under custody, a 17% and 11% increase year over year, respectively. Basically, two of the world's largest asset managers just got a lot bigger. READ ALSO: What 'Crypto Week' Means for ETFs and Here Are the Most Popular Active ETFs of 2025 BlackRock's Big Day The firm's success in the first half of the year has been driven by high stock prices, massive inflows, and BlackRock's push into private markets: In February, BlackRock completed its purchase of private markets data provider Preqin. BlackRock's alternatives held roughly $302 billion at the end of the quarter. Year-to-date, BlackRock has experienced $152 billion in total net flows, led by a record first half for iShares ETFs. Also, on the private market front, BlackRock completed its acquisition of private credit firm HPS Investment Partners this month and agreed to acquire ElmTree Funds, a real estate-focused private-equity firm. Starting next year, BlackRock plans to expand access to alternatives by including private assets in target-date retirement funds. 'This is a place that we have particular strength and can add a lot of value, rather than just rote allocations of X percent to public markets and Y percent to private markets,' Martin Small, BlackRock CFO, said on an earnings call Tuesday. Win Some, Lose Some. State Street's low-cost offerings were a win this quarter as many investors sought out affordable ETFs over mutual funds. The company generated nearly $3.5 billion in revenue this past quarter, bolstered by an 11% jump in fees year over year. However, despite higher revenue, profits fell as total expenses reached $2.5 billion in the second quarter, also up 11% compared with this time last year. State Street's expenses went toward workforce reorganization, technology upgrades and higher performance-based incentives. Like they say, you gotta spend money to make money. – Griffin Kelly This post first appeared on The Daily Upside. To receive exclusive news and analysis of the rapidly evolving ETF landscape, built for advisors and capital allocators, subscribe to our free ETF Upside newsletter. Sign in to access your portfolio
Free Malaysia Today
4 days ago
- Business
- Free Malaysia Today
Yen slides as tariff, election concerns weigh
The yen slid 0.4% to ¥148.48 to the US dollar, trimming a 0.7% advance in the previous session. (Reuters pic) TOKYO : The yen slid today as concerns mounted over a pivotal election in Japan and a still elusive trade deal with the US to avoid a punishing rise in tariffs. Japan's currency traded near a one-year low against the euro as polls showed Prime Minister Shigeru Ishiba's coalition was in danger of losing its majority in the upper house. The US dollar staged a meagre recovery after US President Donald Trump denied he was planning to fire Federal Reserve (Fed) chair Jerome Powell. Japan's top trade negotiator held a phone call with US commerce secretary Howard Lutnick on tariffs, as data showed the Asian nation's exports were starting to feel the impact of tariffs, with shipments down for a second straight month. 'With the elections, the tariffs, the overall relationship between Japan and the US, I do think there is some reason to sell the yen,' said Bart Wakabayashi, Tokyo branch manager at State Street. 'The election seems to be a key point in the foreign view of the currency at the moment,' Wakabayashi said. Investors remain focused on tariffs ahead of an Aug 1 deadline when many trading partners face higher trade levies. Japan failed to clinch a deal with the US before the July 9 expiration of the temporary pause on the country-specific tariffs. Overseas shipments from the world's fourth-largest economy dropped 0.5% in June year-on-year in value terms, data showed today. The nation's chief trade negotiator Ryosei Akazawa held a 45-minute phone call with Lutnick following comments by Trump that the US would likely keep 25% tariffs on Japan unless the countries agree on a trade deal. Domestic media reported that Prime Minister Ishiba is arranging to meet US treasury secretary Scott Bessent in Tokyo on Friday, where the two sides may discuss trade. Ishiba must also contend with an election on Sunday, where polls are signalling a poor showing for his coalition, which could heighten calls for the government to boost spending and cut taxes. The greenback rebounded after declines against the yen and euro yesterday on investor worries that removing the Fed chief before his term ends in May 2026 would undermine faith in the US financial system. 'A more dovish Fed could lead to a return of inflation and negative real yields on Treasuries,' said Mahjabeen Zaman, head of foreign exchange research at ANZ. 'If that comes to fruition, you're going to see a much weaker dollar than we're already expecting,' Zaman said in an ANZ podcast. 'Such an event, if that even does happen, it will raise questions for Fed independence and credibility, so I think it's only going to be an increase in volatility,' he added. Trump has railed against Powell for months for not easing rates, which he says should be at 1% or lower. Bloomberg reported that the president is likely to fire Powell soon, and a source told Reuters that Trump polled some Republican lawmakers on firing Powell and received a positive response. Trump said that the reports were not true. 'I don't rule out anything, but I think it's highly unlikely unless he has to leave for fraud,' Trump said, a reference to recent White House and Republican lawmaker criticism of cost overruns in the US$2.5 billion renovation of the Fed's historic headquarters in Washington. The yen slid 0.4% to ¥148.48 to the dollar, trimming a 0.7% advance in the previous session. The Japanese currency weakened 0.3% to 172.51 per euro, after touching 173.24 yesterday, the weakest since July 12, 2024. The dollar index, which measures the greenback against major peers, rose 0.2% to 98.503 after a 0.3% slide yesterday. The euro stood at US$1.1620, down 0.2%, while sterling edged 0.2% lower to US$1.3395. The Australian dollar slid after jobs data badly missed forecasts and unemployment hit highs not seen since late 2021. The Aussie fetched US$0.6478, down 0.8%. New Zealand's kiwi dollar lost 0.5% to US$0.5916.
The Wire
4 days ago
- Business
- The Wire
A New Chapter Begins: State Street Moves into IndiaLand Tech Park, Strengthening Coimbatore's Rise as a Global Tech Hub
Coimbatore, Tamil Nadu, India (NewsVoir) In a major boost to Coimbatore's commercial real estate landscape, IndiaLand Tech Park, a LEED Platinum-rated IT SEZ campus in Saravanampatti, has welcomed global financial giant State Street as its newest tenant. Known for its eco-conscious infrastructure and premium business environment, IndiaLand continues to attract multinational corporations seeking sustainable and future-ready workspaces in India's tier-2 cities. State Street, a global leader in financial services and asset management, has taken up 2.1 lakh sq. ft. of office space across four floors in Tower D of IndiaLand Tech Park. The official inauguration of the Centre of Excellence took place today, July 16, 2025. With global corporations such as Accenture, Hexaware, Amazon, Bosch, Cognizant, and now State Street operating out of IndiaLand Tech Park, this collaboration marks a significant milestone in the city's economic development. It underscores the growing trend of multinational companies embracing sustainable, Grade-A infrastructure in India's tier-2 cities—positioning Coimbatore as a compelling destination for long-term growth and strategic expansion. This move underscores the growing momentum of Coimbatore as a preferred destination for IT, BFSI, and technology firms. With its robust infrastructure, abundant talent pool, and favorable cost structure, the city is rapidly emerging as a high-potential alternative to traditional metros. Areas like Saravanampatti—an established IT and SEZ corridor in Coimbatore—are witnessing a surge in Grade-A commercial developments, increased demand, and rising occupancy rates. Mr. Harish Fabiani, a visionary entrepreneur and Group Chairman of IndiaLand Corporation, is passionately committed to developing world-class, sustainable infrastructure across India. Under his leadership, IndiaLand has delivered high-performance campuses in key cities including Mumbai, Pune, Chennai, and Coimbatore—each reflecting his forward-looking vision of environmentally responsible and globally competitive business destinations. Salai Kumaran, CEO, IndiaLand Tech Park, expressed his excitement, 'A growing number of global IT giants are choosing to be part of the Platinum-rated, eco-friendly IndiaLand Tech Park community. Their decision to establish a base here reinforces the strategic value of Coimbatore and validates our continued investment in sustainable, future-ready campuses. These partnerships are a proud moment for us.' With operations commencing today, State Street's entry marks a defining moment in Coimbatore's economic development. It also highlights how international enterprises are increasingly turning to sustainable office spaces in India's tier-2 cities to drive long-term growth. This partnership sets a compelling example of how world-class companies, when paired with green infrastructure, can unlock economic potential beyond metro markets—firmly positioning Coimbatore as a rising global business hub. (Disclaimer: The above press release comes to you under an arrangement with Newsvoir and PTI takes no editorial responsibility for the same.).
