Press Release - For immediate release
Assets under Management in Europe rose to EUR 25 trillion in 2017
EFAMA publishes the 10th edition of its Asset Management Report
Brussels, 24 September 2018: The European Fund and Asset Management Association (EFAMA) has published today the 10th Edition of its Asset Management Report. The report focuses on the value of assets managed by regulated third-party asset managers in Europe, providing detailed data on the location of the asset management activity, the asset owners, the evolution of the asset allocation, and the contribution of the industry in terms of employment. The report is primarily based on data received from EFAMA member associations on the value of the assets managed in their countries at the end of 2016. The report also provides an estimate of the assets managed at end 2017.
This years review highlights include:
Total Assets under Management (AuM) in Europe increased by 10% in 2017 to EUR 25.2 trillion. In relation to GDP, the value of AuM is estimated to have reached 147% at end 2017, up from 102% in 2007.
Investment funds assets managed in Europe represented EUR 13.1 trillion or 52% of total AuM at end 2017, with discretionary mandates accounting for the remaining EUR 12 trillion or 48%. Asset managers typically receive mandates from institutional clients, whereas retail investors are generally offered investment funds.
Institutional investors represent the largest client category of the European asset management industry, accounting for 71% of total AuM at end 2016. Pension funds and insurance companies accounted for 28% and 25% of total AuM, respectively.
Bond assets accounted for 41% of total AuM at end 2016, compared to 31% for equity assets. The share of equity held in discretionary mandates fell from 35% in 2007 to 24% in 2016. This development contrasts with the evolution of the share of equity held in investment fund portfolio, which returned in 2016 to its level of 2007 (40%).
Three countries hold a significant market share in assets under management in Europe: the UK (35%), France (17%) and Germany (9%). These high market shares reflect the size of these countries economies, their experience in financial services as well as their pool of savings accumulated over the years.
Close to 4,200 asset management companies are operating in Europe. It can be estimated that these companies employ about 110,000 people. Taking into account related services along the asset management value chain, it is estimated that another 500,000 people are indirectly employed in functions servicing the asset management industry.
Peter De Proft, Director General of EFAMA, comments:
The new edition of EFAMAs Asset Management Report confirms asset managers are a key part of the European financial ecosystem. Through the active management of EUR 25 trillion, they help funding new investment projects and put savings of European citizens to work productively in the economy by investing their money in companies, government and projects, with the aim of generating returns to millions of savers and investors. The significance of that role cannot be underestimated at a time when individuals need to save more to have a comfortable retirement. EFAMA will continue to work together with EU policymakers in the future to ensure that the European asset management industry remain globally competitive, for the benefits of European citizens.
Ends
For media enquiries, please contact:
Peter De Proft, Director General
Bernard Delbecque, Senior Director for Economics and Research
Telephone: +32 (0) 2 513 39 69
E-mail: info@efama.org
Notes to editors:
About the EFAMA Asset Management Report:
Eighteen EFAMA national member associations provided data on the value of the assets managed in their countries at end 2016: Austria, Belgium, Bulgaria, the Czech Republic, Denmark, France, Germany, Greece, Hungary, Italy, Netherlands, Portugal, Romania, Slovenia, Switzerland, Spain, Turkey and the UK. According to our estimation, these countries account for 86% of the assets under management (AuM) in Europe. Additional internal and external data have been used to estimate the AuM in the other European countries.
The focus of the report is to analyze figures on the asset management industry from the perspective of where the assets are managed. This approach is different from the point of view taken in the other publications of EFAMA, which report investment funds data on the basis of their country of domiciliation.
About the European Fund and Asset Management Association (EFAMA):
EFAMA is the representative association for the European investment management industry. EFAMA represents through its 28 member associations and 62 corporate members more than EUR 25 trillion in assets under management, on behalf of investment funds and discretionary mandates. The assets of the investment funds domiciled in Europe at end 2017 reached EUR 15.6 trillion. Close to 32,000 of these funds were UCITS (Undertakings for Collective Investments in Transferable Securities), with the remaining 28,300 funds being AIFs (Alternative Investment Funds). For more information about EFAMA, please visit www.efama.org
