Paris-based fund behemoth Amundi saw its assets under management increase to €1,487 billion during the first half of this year, up 4.3% compared to the end of 2018, despite net outflows of €11.7 billion.
The recovery of financial markets saw the European asset management sector posting virtually zero inflows in the first half of the year, yet for Amundi the upswing offset fund withdrawals made during the period, chief executive Yves Perrier told the press.
According to Perrier, risk aversion generated the outflows as investors and savers maintained a “persistent wait-and-see” approach.
Regardless of the negative flows, the French asset manager is in line with its 2020 targets, making a profit of €505 million in the first six months of 2019 – an increase of 2.7% compared to the same period last year.
The bulk of the outflows was driven by seasonal outflows from treasury products and the reinternalization of an institutional mandate in Italy (-€6.3bn).
Treasury products saw investors pulling out €13.4 billion during the first half of the year.
Medium to long term assets, on the other hand, saw “brisk” net inflows of €8 billion. These inflows were largely driven by solutions fitting well with a market environment of risk aversion and low interest rates, the firm said.
Bonds saw positive flows of €5.8 billion, real and alternative assets drew €2.5 billion, while structured products had €2.1 billion of inflows.
Amundi expects to collect €150 billion in profits in the period from 2018 to 2020.
©2019 funds europe
