Market Size of Europe Mutual Fund Industry
| Study Period | 2020-2029 |
| Base Year For Estimation | 2023 |
| Market Size (2024) | USD 33.89 Trillion |
| Market Size (2029) | USD 43.80 Trillion |
| CAGR (2024 - 2029) | > 5.00 % |
| Market Concentration | Medium |
Major Players
*Disclaimer: Major Players sorted in no particular order |
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Europe Mutual Fund Market Analysis
The Europe Mutual Fund Industry in terms of assets under management value is expected to grow from USD 33.89 trillion in 2024 to USD 43.80 trillion by 2029, at a CAGR of greater than 5% during the forecast period (2024-2029).
The outbreak of the COVID-19 pandemic had a significant impact on the global economy, including the mutual fund industry in Europe. The pandemic caused a sharp increase in market volatility, with stock markets experiencing significant declines followed by periods of recovery. This volatility affected mutual fund performance and resulted in fluctuations in asset values. To cope with lockdowns and social distancing measures, mutual fund companies had to quickly transition to remote work arrangements and enhance their digital capabilities. This accelerated the adoption of digital processes, including online transactions, customer service, and fund reporting. As vaccination efforts progress and economies start to recover, the mutual fund industry is expected to rebound. However, uncertainties remain, and the industry will continue to adapt to changing market dynamics and evolving investor preferences.
As the virus swept across Europe, stock prices in European financial markets began to decrease, and volatility began to rise. European equities markets began to rise after reaching low troughs in late March but at a slower pace than the US share market. The COVID-19 crisis sparked widespread panic and a rush for cash. Both money market funds and long-term funds saw outflows among UCITS. Europe funds and exchange-traded funds (ETFs) are mutual funds that invest in stocks from all around Europe. These funds will provide multi- or single-nation exposure across a diverse spectrum of developed and emerging economies, market capitalizations, currencies, and industry sectors.
In Europe, UCITS funds have the flexibility to invest in any country in the region once registered in any one member country. Debt securities are preferred in the region over equity securities funds. Total assets under management have continuously expanded over the years, reaching USD 31 trillion (or 182% of European GDP) in the previous year, with roughly 54.9% being managed on behalf of investment funds and 45% being managed on behalf of discretionary mandates.
