German FoFs pulled in €6.2bn last year, contrasting with a combined €4.3bn of outflows in 2011 and 2012. Germany overtook France as the second biggest Fund-of-Funds market by assets under management. Only the UK market, with €100bn in invested assets, is larger.
German marketing success
German asset managers were also the best performers when it comes to attracting new flows. Allianz Global Investors saw €3,67bn in net inflows, followed by Nordea from Sweden (€3,23bn) and Deutsche Asset and Wealth Management €1,69bn). Interestingly, the Allianz GI Balance Fund was the company’s top-selling fund, despite having underperformed its benchmark over five years. Amundi remains by far the largest company in the FoFs-domain with assets under management of €26,33bn, despite suffering net outflows of €300mn last year.
Fund-of-Fund managers based in the Nordics have performed remarkably well over the past years. Sweden-based companies attracted €5.1bn in net new inflows last year, despite their market being less than half the size of Germany’s in terms of assets under management. The size of both the Norwegian and Swedish FoFs-market has tripled since 2009, compared to a rise of just 48% for other Swedish funds. Finnish and Danish markets did only slightly less well.