Management companies face slowdown in inflow of funds: 2025 Q1 results
In 2025 Q1, management companies saw a slowdown in the growth of the value of their clients’ assets. This was attributed to the outflow of funds from money market exchange-traded unit investment funds (UIFs), following the record highs of late 2024, as well as to declining investment in closed-end funds.
Investors were exiting money market funds and choosing instruments that offered a greater diversification of assets whose yields were expected to go up. Investment in open-end UIFs was on the rise for the first time over the past 15 months. The major contributor to this upward trend was a fund pursuing a strategy that assumed investing not only in the money market, but also in government and corporate bonds.
As usual, UIFs remained the key growth driver in the collective investment market. Over January—March 2025, they accounted for nearly three-fourths of the growth, with their share of net asset value equalling 64.6%.
More details are available in the Review of Key Indicators of Management Companies for 2025 Q1.