But Fidelity's passive investment products, including ETFs, have recorded $44 billion in net deposits over the past year as it expanded offerings that are as cheap or cheaper than rivals, according to Morningstar.
Vanguard Group remains the dominant force in the U.S. fund industry, with about $4 trillion in assets under management. About $328 billion in net deposits flowed into Vanguard passive investment funds over the past year, according to Morningstar.
Johnson, who has worked at Fidelity for nearly 30 years, said clients want low fees, good service and high returns.
She said during the interview that one challenge in running a large, established company is getting employees to look beyond the horizon for the next new thing.
"When everyone is running the machine and it's all working, there's a tendency to look at the short term and focus on incremental opportunities and not look ahead to the really big opportunities," Johnson said.
This article was provided by Reuters.