Global fund assets increased in the third quarter of 2025, driven by continued inflows into fixed income and ETFs, while equity funds saw net outflows, according to the European Fund and Asset Management Association’s (Efama) data.
The trade association reported a 4.8% increase in global investment fund assets in euro terms, bringing the total to €78 trillion, with gains across major markets despite differing flow trends.
Worldwide net assets also increased by 5% in US dollar terms to $91.1 trillion, supported by a weakening of the dollar against the euro.
Long-term fund flows remained positive but slowed, with global inflows easing to €351 billion from €387 billion in the second quarter. Europe led all regions with €237 billion in net sales, driven by activity in Ireland, which attracted €111 billion.
The US, however, recorded €23 billion of outflows, while the rest of the Americas added €58 billion, driven by Canada’s €38 billion. Across Asia, China attracted €35 billion, lower than its €128 billion gain in Q2, while Japan and South Korea reported €8 billion and €24 billion respectively.
Equity funds lost €103 billion after €67 billion of inflows in the previous quarter. The US accounted for the majority with €227 billion in redemptions. Europe added €64 billion thanks to another strong quarter for Irish-domiciled funds.
Bond funds gained €363 billion of inflows compared with €273 billion in Q2. The US led with €212 billion, while Europe added €113 billion, including contributions from Ireland (€43 billion) and Luxembourg (€42 billion). China recorded €2 billion of inflows, below the €102 billion seen in Q2.
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Multi-asset funds received €10 billion after €9 billion of outflows in the previous quarter. Regional flows diverged, with Europe posting €26 billion of outflows, the US €25 billion, and China €8 billion.
ETFs attracted €486 billion, up from €358 billion in Q2. The US accounted for €313 billion, Europe €91 billion (concentrated in Ireland and Luxembourg), China €47 billion and Canada €23 billion.
Money market funds’ worldwide inflows rose to €351 billion from €241 billion in Q2. The US contributed €251 billion, Europe €39 billion, and China €58 billion—though the latter figure remained below the €110 billion recorded in the previous quarter.
Thomas Tilley, senior economist at Efama, commented: “US investors fled equity funds in Q3 despite strong stock market performance, as concerns grew over potential corrections in technology stock valuations. In contrast, European equity funds recorded an increase in net inflows during the quarter.”
