AllianceBernstein's [profile] response to its dismissal by Vanguard has been, well, nonchalant.

Maybe a bit too nonchalant? On an earnings conference call, AllianceBernstein chairman and chief executive Peter Kraus said the financial effect of being dropped by Vanguard "will be immaterial," reports the Wall Street Journal.

A spokesman for Vanguard would not comment on why the firm dropped AllianceBernstein. However, he said that generally, Vanguard looks at factors including performance, people and philosophy when evaluating advisors.

To that point, Kraus said in an interview with the WSJ, "Anybody you want to look at in the industry has had a desperately difficult time producing performance, and we are no different."

"We are empathetic to the concerns investors have about the performance," Kraus added.  

Edited by: Irene Park


Stay ahead of the news ... Sign up for our email alerts now
CLICK HERE