AuM in China’s fund industry takes a knock

Assets under management (AuM) in China’s fund industry fell roughly 5% to Rmb2.3trn (€244bn) between the first and second quarters of the year, after two years in which AuM barely moved, according to Shanghai-based consultancy Z-Ben Advisors.

Limited gains for new products failed to offset outflows from redemptions and capital depreciation caused by fund losses, said the firm, which notes that equity funds lost an average 7.14% in the past six months.

Despite the poor performance, product launches are at an all-time high. Z-Ben identified 107 funds launched in the first half of the year compared with 70 for the same period in 2010.

“The fact that industry AuM has barely moved within the last two years is not lost on many industry observers, who rightly question whether keen interest on the part of newcomers … may seem out of place,” said the firm.

Many domestic analysts are predicting an upturn in equity performance for the second half of the year, which could help AuM recover and even overtake its former high point.

©2011 funds europe

HAVE YOU READ?

THOUGHT LEADERSHIP

The tension between urgency and inaction will continue to influence sustainability discussions in 2024, as reflected in the trends report from S&P Global.
FIND OUT MORE
This white paper outlines key challenges impeding the growth of private markets and explores how technological innovation can provide solutions to unlock access to private market funds for a growing…
DOWNLOAD NOW

CLOUD DATA PLATFORMS

Luxembourg is one of the world’s premiere centres for cross-border distribution of investment funds. Read our special regional coverage, coinciding with the annual ALFI European Asset Management Conference.
READ MORE

PRIVATE MARKETS FUND ADMIN REPORT

Private_Markets_Fund_Admin_Report

LATEST PODCAST