The headlines say fund groups’ profits fell, but what else can we learn from McKinsey & Company’s Asset Management 2017 report into the European funds industry?
Fund industry profits shrink as higher costs and passives bite
Worldwide profits for traditional mutual fund groups fell by close to 3% in 2016, despite higher assets under management, according to a report by McKinsey.
Asset managers could see a third knocked off profits
Increased competition and unfavourable markets could see asset managers’ profits squeezed by as much as 35% over the next two years, according to a report by McKinsey and Company.
low rates cost eurozone banks 200bn mckinsey finds
Eurozone banks lost interest income totalling more than $200bn between 2007 and 2012, as a result of ultra-low interest rates, according to research from McKinsey