Worldwide fund net assets increase in final quarter of 2019
Worldwide regulated open-ended fund assets increased by 3.1 per cent to EUR52.7 trillion in the fourth quarter of 2019, according to the The European Fund and Asset Management Association's (EFAMA) latest International Statistical Release.
Worldwide net cash flow to all funds amounted to EUR808 billion, compared to EUR622 billion in the third quarter of 2019.
Bernard Delbecque, Senior Director for Economics and Research, says: “Net sales of equity funds rebounded strongly during the fourth quarter of 2019, as investor confidence strengthened at that time against the background of improved economic conditions."
Other main developments in the worldwide investment fund industry in the fourth quarter of 2019 include:
• Rebound in net sales of equity funds. After three quarters of negative or nearly zero net sales, net inflows into equity funds rose to EUR134 billion in Q4 2019. Equity flows recovered across the board but were primarily driven by Europe (EUR55 billion), followed by the United States (EUR33 billion).
• Net sales of bond funds remained strong. Net sales of worldwide bond funds amounted to EUR234 billion in Q4 2019, compared to EUR245 billion the previous quarter. The United States (EUR158 billion) and China (EUR49 billion) accounted for the majority of global net sales.
• Strong net sales of money market funds. Money market funds attracted EUR259 Billion in net new money in Q4 2019, compared to EUR279 billion in Q3 2019. Again, the vast majority of net sales was registered in the United states (EUR171 billion) and China (EUR66 billion), whereas Europe registered net outflows of only EUR5 billion.