How to prosper in a low-margin environment
The asset management industry is facing significant new challenges and active managers need to adapt or risk irrelevance, according to an expert at PwC.
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The asset management industry is facing significant new challenges and active managers need to adapt or risk irrelevance, according to an expert at PwC.
Franklin Templeton Investments has “repositioned” its existing Global (Euro) Fund to focus on companies actively reducing their carbon footprint which it expects will boost returns.
Global asset manager Aberdeen Standard Investments (ASI) is to establish an investment and distribution business in Ireland to complement its existing Luxembourg operation and shore up its European offering ahead of Brexit.
US dollar denominated money market funds topped the charts in terms of inflows for January this year, while UK sterling funds saw the biggest outflows from this sector, according to the latest Thomson Reuters Lipper data.
Luxembourg’s popularity as an international fund management centre helped boost assets under management (AUM) in the tiny Duchy by 11.18% in 2017 to reach €4.16trn, according to the Association of the Luxembourg Fund Industry (ALFI).
Spanish, Portuguese, and Luxembourg fund selectors are looking to expand their holdings of a large range of assets over the next 12 months and only intend to sell a few, mostly in the fixed income sector, according to Expert Investor research.
What do Luxembourger fund buyers think of all the major asset classes?
UK fund manager M&G Investments has begun to transfer the assets of four UK-domiciled open-ended funds with assets of around €10.5bn (£9.3bn) to equivalent funds on its Luxembourg platform.
Wells Fargo Asset Management (WFAM) has launched two Ucits, the Global Low Volatility Equity fund and the Global Long/Short Equity Fund, which will be sub-advised by Analytic Investors.
There are no benchmark huggers in Europe’s biggest fund centre, Luxembourg’s financial regulator CSSF has claimed, “except one isolated case.”
Following the French elections, investors have swapped actively managed single country equity funds for index trackers.
India combines the G-20’s fastest GDP growth rate with inflation lower than in the UK. Local bonds are perfectly suited to profit from India’s economic awakening, argues Aberdeen AM’s David Lloyd-Nolan.