Fri, Aug 26, 2016
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Industry Updates

Cerulli: Optimism returns as global assets set to cross US$70.4tln in 2013

Friday, July 12, 2013
Opalesque Industry Update - Global assets under management are set to cross US$70.4 trillion by the end of 2013-a full US$20 trillion higher than the industry's low point in 2008. The even better news is that this is a conservative estimate that may need upward revision if the global financial markets continue to perform as strongly in the rest of the year as they have in the first five months, according to Cerulli Associates' flagship international report, The Cerulli Report: Global Markets 2013.

Now in its 12th iteration, this annual report covering both retail and retirement asset management globally reports that non-US assets accounts for a more than 50% share of total assets, but the engine of growth remains the United States, certainly in the near term. "It would be churlish not to feel a sense of optimism about the near- and medium-term outlook for the global asset management industry, especially when considering top-line growth", says Shiv Taneja, Cerulli's London-based managing director. He adds that even Europe has managed to add US$5.9 trillion in assets since 2008.

"The worry, however, is when considering bottom-line growth. Here the picture is less well-defined, as many firms-large and small-continue to have to deal with the effects of the financial crisis and margin pressure. The sunny uplands may beckon, but a good guide is going to be essential," says Yoon Ng, associate director at Cerulli, and one of the report's key authors.

The Global Markets 2013 report shows that only Japan is slated to show slower asset growth than Europe over the next five years to 2017, but when it comes to heft there is no getting away from the fact that the United States is, and is likely to remain, the sweetest spot, from a global growth standpoint.

"Could it really get to be more than twice bigger than Europe, in asset terms, by 2017? It certainly appears so," says Taneja.

Cerulli's prognostication suggests that Asia ex-Japan will continue to show the highest growth rate over the five years to 2017, but this top-line figure must be measured up against the region's ability to generate consistently strongly bottom-line growth. The next few years will be crucial, says Ng.

Press release

www.cerulli.com

Recent related article:
10.07.2013 - BCG: Global assets under management surpass 2007 level, reach $62tln in 2012 Source

Bg

What do you think?

   Use "anonymous" as my name    |   Alert me via email on new comments   |   
Today's Exclusives Today's Other Voices More Exclusives
Previous Opalesque Exclusives                                  
More Other Voices
Previous Other Voices                                               
Access Alternative Market Briefing

 



  • Top Forwarded
  • Top Tracked
  • Top Searched
  1. Opalesque Exclusive: Algorithms platform aims to target typical challenges found in quantitative hedge funds[more]

    Benedicte Gravrand, Opalesque Geneva: Last month, Quantopian received investments from Point72 Ventures, the new venture capital arm of Steven Cohen’s Point72 Asset Management.

  2. LatAm hedge funds surge in 1H to +24.4%, emerging markets assets rise[more]

    Komfie Manalo, Opalesque Asia: Hedge funds investing in Latin America posted strong gains through mid-2016, reversing declines in four of the past five years, including the last three years, to lead all areas of hedge fund performance through the first half of 2016, according to the latest HFR Em

  3. Asia - LGT Capital Partners: Alternatives set for continued rise in Asia[more]

    From Asianinvestor.net: More flows are likely into insurance-linked strategies, private equity and trend-following strategies/CTAs, given the benefits of such investments, argues LGT Capital Partners. Despite the numerous quantitative easing programs and bailouts of recent years, the quest for

  4. Opalesque Roundtable: Low and high fee investments often better than mid fee hedge funds[more]

    Komfie Manalo, Opalesque Asia: Hedge funds that charge the low and high fees stuff often provide better returns than "those sort of mid-fee investments", said Keith Haydon, chief investment officer of Man FRM. (Alternative) investment managers who charge high fees would often provide the most int

  5. Hedge fund investors pull $5.7 billion in July[more]

    From Bloomberg.com: Hedge funds suffered a third consecutive month of outflows in July as investors withdrew $5.7 billion, according to industry tracker Eurekahedge. Redemptions totaled $20.7 billion in the three months through July, with money managers betting on equities suffering $18.4 bill