Fitch Ratings warns 2016 could mark 'inflection point' for asset manager growth

Tough start to the year

Fitch Ratings has said the European fund management industry is set to suffer a slowdown in AUM growth this year, after many asset classes experienced flow reversals in the first three months.

In its latest report entitled European asset management industry - Ripe for change, the ratings agency warned the 10% growth rate seen in 2015 will not be repeated this year. The industry grew by 10% in terms of AUM in 2015, which was consistent with a compound annual growth rate of 9% over the last five years, the report said. Overall, total assets have more than doubled since 2008. However, the 'flow reversal' seen in the first quarter of 2016 spells a different picture for the year, with fixed income, emerging markets and US high yield all hit. Fitch said most major classes suff...