(Bloomberg) -- Has the music stopped for the financial industry?
Just as record companies in the early 2000s had to deal painfully with the digitization of music courtesy of Napster and Apple Inc.'s iTunes, many asset managers are now facing a similar situation as more investors make the switch from high-priced, actively managed mutual funds to passive, low-cost, exchange-traded funds (ETFs) and index funds.
When the dust settles in this sea change, the financial industry may be half of what it once was, simply because its revenues will be half of what they once were.
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