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23 November 2012

ECB policy actions drive increased sales on long-term UCITS during third quarter of 2012


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The European Fund and Asset Management Association (EFAMA) has published its latest Quarterly Statistical Release which describes the trends in the European investment fund industry during the third quarter of 2012.


The main highlights of the report can be summarised as follows:

  • Despite large withdrawals from money market funds, UCITS enjoyed increased net inflows  of €20 billion in the third quarter of 2012, up from €7 billion recorded in the second  quarter. A steep rise in net sales of long-term UCITS, reflecting improved investor  optimism on account of ECB policy actions, was the main driver behind the increased net  sales of UCITS.
  • Long-term UCITS, i.e. UCITS excluding money market funds, experienced net inflows of  €51 billion during the quarter, compared to €8 billion in the previous quarter.
  • Bond funds attracted strong net inflows of €50 billion, up from €42 billion in  the second quarter.
  • Net sales of balanced funds returned to positive territory with net inflows of €10 billion.
  • Equity funds registered reduced net outflows of €9 billion, compared to €28  billion in the second quarter.
  • Money market funds recorded a steep increase in net withdrawals during the quarter registering €31 billion, compared to €1 billion in the previous quarter. The continual  low interest rate environment continued to have a negative effect on money market funds.
  • Total UCITS net assets rose 3.7 per cent during the third quarter to stand at €6,174 billion at end September 2012. Both equity funds and bond funds registered increases of 5.6 per cent during the quarter. Balanced funds also enjoyed strong growth of 4.5 per cent. In  contrast, money market funds registered a reduction in net assets of 2.5 per cent.
  • Total net assets of non-UCITS increased by 3.3 per cent in the third quarter to stand at €2,567 billion at end September 2012. Assets of special funds reserved to institutional investors registered growth of 4.5 per cent during the quarter, thanks to sustained net  sales (€16 billion, compared to €21 billion during the second quarter).
  • The combined assets of the investment fund market in Europe, i.e. the market for UCITS  and non-UCITS, increased by 3.6 per cent in the third quarter to stand at €8,741 billion at  end September 2012. This compares to net assets of €7,960 billion at end 2011.

Press release



© EFAMA - European Fund and Asset Management Association


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