Wealth management sectors in key markets across region are set to bloom over the medium to long term.
Japanese equity fund flows in Europe registered €500m in net new money across mutual funds and exchange-traded funds in April.
Liquidity conditions for asset owners improved in the last six months, Cerulli Associates notes.
Thematic funds and Shariah-compliant funds are gaining popularity in the region, said Cerulli.
Competition among asset managers to cut the total fees of exchange-traded funds is “intensifying”.
Despite the impact of market dynamics on mutual funds, real assets and income protection assets have shown resilience, said Cerulli Associates (Cerulli).
ESG and ETF funds are gaining momentum across the region.
Both inflows and AUM of the asset class have grown exponentially, according to a Cerulli Associates report.
Large capital flows are not expected into the Greater Bay Area Wealth Management Connect (GBA WMC) scheme in the near future, according to Cerulli Associates.
The rolling out of cross-border schemes and the opening up of its asset management industry have enabled overseas money managers to tap into the China market, says Cerulli.