Several of the companies we own service the growing need for investment advice among individual investors. Financial Engines, Inc. (NASDAQ:FNGN) is an advisory service for employees of participating employer retirement plans. While it is the significant market leader, it still has just $115 billion in 401(k) assets under management in a highly fragmented market. Its relationships with plan record keepers provide access to over $3 trillion in assets and its products are applicable to the vast majority of these accounts. We think Financial Engines has a long runway of growth as more plan sponsors provide their employees with access to its products, individual investors utilize its services, and new channels of distribution are opened beyond the retirement space.
From Baron Funds' May 2016 Baron Insight: Investing in Financials.
