Lipper: European fund total continues to decline

Philippa-Gee-FW-Index-Alt-480.jpg

The total number of funds registered for sale in Europe has fallen for every quarter in more than two years, according to research by Lipper.

The Lipper Fund Market Insight Report shows a net decrease of 425 products in the second quarter of 2013, taking the total number of funds available to 31,877 and marking the ninth consecutive quarter of falls.

There was a total of 502 fund liquidations in Q2, up from 396 in Q1 but down from 522 in Q2 2012.

Fund mergers increased 74 per cent to 355, up from 204 during the same period in 2012, and up 4 per cent from 340 in Q1 2013.

The 355 mergers involved 109 equity funds, 96 bond funds, 68 mixed-asset funds, 28 “other” and 54 money market products.

A total of 432 new products were launched, down from 435 in Q1, and down 6 per cent from 458 in Q2 2012.

The Q2 launches were made up of 116 equities, 165 bonds, 111 mixed asset products, 34 “others” and 6 money market funds.

The 31,877-strong European fund universe is made up of 37 per cent equities, 25 per cent mixed asset products, 22 per cent bonds, 11 per cent “other” and 5 per cent money market funds.

Overview of new fund launches, mergers and closures of investment funds:

Campbell-Alistair-Skandia-2013

Source: Lipper