AUM in Europe reaches new record high, EFAMA report shows

EU-Europe-Flags-Euro-700x450.jpgAssets under management in Europe hit a record high in 2016, a report by the European Fund and Asset Management Association (EFAMA) shows.

The industry body’s Asset Management Report reveals total assets under management in Europe increased by 6 per cent in 2016 to €22.8trn. AUM is expected to have reached 138 per cent of GDP at the end of 2016, up from 81 per cent at the end of 2008.

Investment funds account for 52 per cent – or €11.8trn – of the total AUM at the end of 2016, with discretionary mandates making up the rest.

At the end of 2015, 42 per cent of the assets in investment funds were in bond assets compared to 32 per cent for equities.

The report shows Europe is the second largest market in the global asset management industry, with 31 per cent of the total assets – or €68trn – at the end of 2015.

There are more than 4,000 asset management companies registered in Europe, with 100,000 employees and an estimated 460,000 people indirectly employed.

Peter De Proft, director general of EFAMA, says: “The total amount of assets managed in Europe confirms the important role played by asset managers to fund new investment projects and generate returns for millions of savers and investors. I am confident that asset managers will continue to develop their role in the future as the capital markets union project delivers on its goal of improving the access of European businesses to capital markets.”