The UK investment management industry has seen a growth in assets under management to £9.1 trillion in 2023 (£8.8trn, 2022), according to the latest annual figures from the Investment Association (IA). This growth is testament to the resilience and global appeal of the industry, despite a challenging year of continued geopolitical uncertainty, as markets continued to adjust to the new market cycle and the end of the era of very low interest rates and quantitative easing.
Boosting trade is a crucial ingredient to generating growth in the UK. The UK's investment management industry is a truly global success story, with almost of half of assets managed for overseas clients, representing £4.2 trillion. We're proud that people from around the world choose the UK to help them to achieve their financial goals. That brings jobs and tax revenue to the UK, and means that crucial investment decisions are taken closer to home. We will be working with the government as it builds and deepens trade relations."
We welcome the Government's focus on securing economic stability and growth, encouraging investment, and improving people's financial futures through wealth creation. Today’s speech offers a forward-looking plan which recognises the importance of partnership with the private sector, and the investment management industry will play an active role in achieving these aims.
A cross-industry group made of up the Investment Association (IA), the Association for Financial Markets in Europe (AFME), the Alternative Investment Management Association (AIMA) and UK Finance has today commented on the development of a UK consolidated tape for equities and ETFs.
• UK investors withdrew £136 million from funds in May, following two months of inflows during ISA season throughout March and April.
• In May investors withdrew £1.8 billion from UK equity funds, the highest monthly outflow on record.
• Inflows into index trackers remained strong with net retail sales of £2.1 billion, however, this is below the previous month’s record £3.8 billion.
The Investment Association (IA), the trade body for the UK investment management industry, has written to Chancellor Rachel Reeves to outline how the sector can support the new government in its ambition to kickstart growth in the UK.
Chris Cummings, Chief Executive of the Investment Association (IA), calls for a recalibration of risk and a shift away from a culture of safetyism, so that investment managers can effectively deliver long-term returns for customers, and help drive UK economic growth, in a keynote speech delivered at the IA's 2024 annual conference.
• All major asset classes saw inflows, with equity inflows their highest since December 2021, suggesting increased confidence in growth of equity valuations
• Record tracker inflows of £3.8 billion in April 2024, exceeding the previous record of £3 billion in November 2020
Our key purpose is to make investment better for savers and investors, for companies and their employees, and for the economy. That way, everyone prospers.
