Variable annuities which use outside money management firms - as opposed to those which only offer the sponsor's own money management team - now account for 36 percent of the assets under management in variable annuities, according to Financial Research Corp. of Boston, a financial services tracking and consulting firm.

Externally-managed variable annuities had approximately $237 billion in assets as of June 30, FRC said in a report released Oct. 4.

The leading outside firms managing variable annuity sub-accounts as measured by assets under management are Wellington Management Company and Fidelity Investments, both of Boston, and Janus of Denver, according to FRC. The firms have approximately $39 billion, $34 billion and $20 billion, respectively, in assets through variable annuities, according to FRC.

Subscribe Now

Access to premium content including in-depth coverage of mutual funds, hedge funds, 401(K)s, 529 plans, and more.

3-Week Free Trial

Insight and analysis into the management, marketing, operations and technology of the asset management industry.