FRED ALGER MANAGEMENT INC Profile
Fred Alger Management Inc. is an asset management company that operates as a subsidiary of Fred Alger & Co. Inc. The company was founded in 1964 by Fred Alger who utilized a research intensive strategy known as growth investing. Fred Alger would lead the company for three decades until David Alger replaced him. Dan Chung, who would replace David Alger in 2001, has been the CEO since 2001 and is still in that position. Fred Alger Management Inc. is an independent company, focusing on investing in “Positive Dynamic Change” and utilizing a proprietary, bottom up, fundamental research to make its investment decisions. The company combines “internally developed talent with experienced industry or sector experts” to create a team that is well rounded and dynamic. The company currently has over 100 employees with its analysis having an average of at least 14 years of experience and working as sector specialists in their areas of expertise to be able to provide “unique, extensive, and in-depth industry perspectives.” Fred Alger Management has over $22 billion in total assets under management that are spread across almost 800 accounts, averaging over $28 million each, and generating its revenue through a combination of fixed fees and performance based fees. The majority of these accounts are discretionary accounts, with a small amount of them being non-discretionary. Although its total number of accounts has been decreasing, going from over 3,000 held accounts in 2010 to its current amount, the company’s total assets under management has been increasing, almost tripling its $8 billion assets under management to its current amount today. The large majority of its clients are individuals, but its diverse client base also includes investment companies, high net worth individuals, pooled investment vehicles, charities, corporations, state and municipal entities, and insurance companies. Some of the mutual funds that the company offers include the Analyst Fund, Capital Appreciation Fund, Emerging Markets Fund, Dynamic Opportunities Fund, Green Fund, and Health Sciences Fund.