Legg Mason unit wins Vanguard business

|About: Legg Mason Inc. (LM)|By:, SA News Editor

It's a "high-profile, high-quality win" for ClearBridge, says Credit Suisse's Craig Siegenthaler, after the Legg Mason (LM -0.6%) unit won a mandate to manage part of Vanguard's $11.9B Explorer Fund.

Siegenthaler guesses that of the $14B in institutional wins Legg Mason talked about during a recent conference, the new Vanguard business accounts for about $1B-$2B.

Vanguard isn't just about passive investing - based on AUM, it's got a 5.6% market share of active funds, 2nd only to America Funds (8.3%) and Fidelity (6.4%).

Source: Crystal Kim in Barron's