Luxembourg domiciled funds reached a new all-time record at the end of December 2017, with assets under management standing at EUR4,159 billion, according to figures issued by the CSSF, the Luxembourg regulator.
Assets under management increased by EUR418 billion, growing 11.18 per cent over the year.
“Net sales tripled in 2017 compared to 2016, going from EUR99.6 billion to EUR308.4 billion,” says Denise Voss (pictured), ALFI chairman.
During 2017, nearly 74 per cent of the growth in AUM was from new money invested into Luxembourg funds. UCITS saw the bulk of investments, but alternative strategies such as private equity and real estate saw growing interest from investors, too. The remaining increase in assets under management in Luxembourg funds during the year was a result of the impact of global financial markets.
Recent growth in assets under management in Luxembourg funds has been quite spectacular, rising from EUR3,000 billion in September 2014 to EUR4,000 billion in September 2017, a period of just three years. Key to this success is Luxembourg’s standing as the cross-border fund centre for European and international investors.