Latest news with #AuM
Gulf Business
6 days ago
- Business
- Gulf Business
GCC assets under management reach $2.2tn in 2024, shows report
Image: Getty Images/ For illustrative purposes The Gulf Cooperation Council's (GCC) asset management industry grew to $2.2tn in assets under management (AuM) in 2024, representing a 9 per cent increase from the previous year, according to Boston Consulting Group's ( From Recovery to Reinvention. The report highlights Saudi Arabia and the UAE as the principal contributors to retail mutual fund growth, while Abu Dhabi and Kuwait's sovereign wealth funds (SWFs) manage the largest volumes of assets in the region. Lukasz Rey, MD and partner and Middle East head of Financial Institutions at BCG, said: 'The next decade's leaders will be those who redefine their future, not just endure challenges. The region's 9 per cent AuM growth in 2024 underscores its rising prominence as a hub for institutional and retail capital. 'With Saudi Arabia and the UAE anchoring regional momentum, the GCC's strategic diversification and SWF dominance signal a future where local asset managers could rival global giants. Recent market volatility offers a chance for change, prompting asset managers to move from recovery to innovation — reimagining value delivery, client engagement, and business operations.' GCC AUM: revenue growth driven by market performance Revenue growth in 2024 was primarily driven by market performance rather than investor inflows, underscoring the industry's vulnerability to external forces. The report also noted that persistent fee compression, shifts in investor preferences, and digital disruption are pushing firms to redesign business models, accelerate cost innovation, and sharpen strategic focus. Mohammad Khan, MD and partner at BCG, added: 'The GCC's asset management industry has demonstrated remarkable resilience and strategic growth, achieving $2.2tn in AuM in 2024. With Saudi Arabia and the UAE driving retail mutual fund expansion and Kuwait and Abu Dhabi leading in sovereign wealth fund dominance, the region is steadily establishing itself as a global financial powerhouse. This growth reflects not only recovery but a strategic pivot towards innovation and operational excellence. The next decade will be defined by asset managers who prioritize client-centric transformation, technological advancement, and leaner business models, positioning the GCC as a formidable force capable of rivaling global industry leaders.' Three factors driving the industry The BCG report identifies three forces reshaping the industry globally: Opportunities to create new products in response to changing investor demands – Asset managers can expand into actively managed ETFs, model portfolios, and separately managed accounts, as well as deliver private assets to retail clients. Retail access to private markets has expanded more than fivefold over four years, surpassing $300bn, driven by demand for better risk-adjusted returns, though regulatory hurdles and investor education remain key challenges. A critical need for consolidation and digital transformation – Strategic partnerships and mergers and acquisitions are enabling firms to gain scale, broaden offerings, and build technological capabilities. Large asset managers can lower costs through technology synergies and operational efficiency, while those managing less than $300bn must focus on leaner models. A renewed focus on cost – Operational efficiency, enhanced decision making, and client engagement are key priorities. Generative AI is emerging as a critical tool for process automation and product delivery, particularly in illiquid and alternative assets, and is being deployed across front, middle, and back offices. Nabil Saadallah, MD and partner at BCG, said: 'While currency adjustments and methodology revisions cloud historical comparisons, the consistency of 9 per cent annual growth across the GCC reveals a resilient market. Pension funds and SWFs, led by Saudi and Kuwaiti institutions, are quietly reshaping the region's financial architecture, blending tradition with global asset management rigour. Notably, cost discipline is now a strategic focus, with firms prioritising unique value creation, embracing lean practices, and investing heavily in transformative technologies.' Read:
Zawya
6 days ago
- Business
- Zawya
The GCC's assets under management reached USD 2.2 trln in 2024, representing 9% growth
AuM in 2024 represents a 9% growth from 2023 Dubai, August 13, 2025 - The GCC's asset management industry grew to $2.2 trillion in Assets under Management (AuM) in 2024, a 9% increase from the previous year, according to the 23rd edition of the Global Asset Management report, titled 'From Recovery to Reinvention' by Boston Consulting Group (BCG). In the retail mutual fund sector, Saudi Arabia and the UAE have been the principal contributors to growth. As for sovereign wealth funds (SWFs), the largest volumes of assets have been managed by major players in Kuwait and Abu Dhabi. Lukasz Rey, Managing Director & Partner and Middle East Head of Financial Institutions at BCG, said: "The next decade's leaders will be those who redefine their future, not just endure challenges. The region's 9% AuM growth in 2024 underscores its rising prominence as a hub for institutional and retail capital. With Saudi Arabia and the UAE anchoring regional momentum, the GCC's strategic diversification and SWF dominance signal a future where local asset managers could rival global giants. Recent market volatility offers a chance for change, prompting asset managers to move from recovery to innovation - reimagining value delivery, client engagement, and business operations.' According to the report, the revenue growth in 2024 was driven by market performance rather than investor inflows, underscoring the industry's vulnerability to external forces. Meanwhile, persistent fee compression, shifts in investor preferences, and digital disruption are pushing firms to redesign their business models, accelerate cost innovation, and sharpen their strategic focus. Mohammad Khan, Managing Director & Partner at BCG, said: 'The GCC's asset management industry has demonstrated remarkable resilience and strategic growth, achieving $2.2 trillion in Assets Under Management (AuM) in 2024. With Saudi Arabia and the UAE driving retail mutual fund expansion and Kuwait and Abu Dhabi leading in sovereign wealth fund dominance, the region is steadily establishing itself as a global financial powerhouse. As highlighted in BCG's research, this growth reflects not only recovery but a strategic pivot towards innovation and operational excellence. The next decade will be defined by asset managers who prioritize client-centric transformation, technological advancement, and leaner business models, positioning the GCC as a formidable force capable of rivaling global industry leaders.' The report highlights three forces reshaping the industry globally: 1. Opportunities to Create New Products in Response to Changing Investor Demands Looking forward, asset managers have two opportunities to win in an evolving product and distribution landscape. First, they can claim a larger portion of a shrinking but important pool of actively managed assets - specifically, in active exchange-traded funds (ETFs), model portfolios, and separately managed accounts. Second, they can mobilize to play a key role in the growing market for delivering private assets to retail clients. Retail access to private markets is an expanding frontier, with semi-liquid private asset funds expanding over five times in four years, surpassing $300 billion. This growth is fueled by the demand for better risk-adjusted returns and solid long-term performance, though challenges include navigating regulatory barriers, simplifying product design, and enhancing investor education. 2. A Critical Need for Consolidation and Digital Transformation Strategic partnerships and M&A are reshaping the landscape as firms race to gain scale, broaden offerings, and build technology capabilities. Those overseeing the largest amount of assets can drive costs down through technological synergies, streamlined operations, and process efficiencies, while those managing less than $300 billion must emphasize leaner models. 3. A Renewed Focus on Cost As asset managers emphasize operational efficiency, enhanced decision making, and client engagement, AI has emerged as a key accelerator. GenAI is transforming process automation and product delivery - especially in complex areas such as illiquid and alternative assets - and is now being deployed across the front, middle, and back offices. Nabil Saadallah, Managing Director & Partner at BCG, said: "While currency adjustments and methodology revisions cloud historical comparisons, the consistency of 9% annual growth across the region and GCC reveals a resilient market. Pension funds and SWFs, led by Saudi and Kuwaiti institutions, are quietly reshaping the region's financial architecture, blending tradition with global asset management rigor. Notably, cost discipline is now a strategic focus with firms prioritizing unique value creation, embracing lean practices, and investing heavily in transformative technologies." About Boston Consulting Group Boston Consulting Group partners with leaders in business and society to tackle their most important challenges and capture their greatest opportunities. BCG was the pioneer in business strategy when it was founded in 1963. Today, we work closely with clients to embrace a transformational approach aimed at benefiting all stakeholders, empowering organizations to grow, build sustainable competitive advantage, and drive positive societal impact. Our diverse, global teams bring deep industry and functional expertise and a range of perspectives that question the status quo and spark change. BCG delivers solutions through leading-edge management consulting, technology and design, and corporate and digital ventures. We work in a uniquely collaborative model across the firm and throughout all levels of the client organization, fueled by the goal of helping our clients thrive and enabling them to make the world a better place.
Al Bawaba
6 days ago
- Business
- Al Bawaba
The GCC's Assets Under Management reached USD 2.2 trillion in 2024, representing 9% growth
The GCC's asset management industry grew to $2.2 trillion in Assets under Management (AuM) in 2024, a 9% increase from the previous year, according to the 23rd edition of the Global Asset Management report, titled 'From Recovery to Reinvention' by Boston Consulting Group (BCG). In the retail mutual fund sector, Saudi Arabia and the UAE have been the principal contributors to growth. As for sovereign wealth funds (SWFs), the largest volumes of assets have been managed by major players in Kuwait and Abu Dhabi. Lukasz Rey, Managing Director & Partner and Middle East Head of Financial Institutions at BCG, said: "The next decade's leaders will be those who redefine their future, not just endure challenges. The region's 9% AuM growth in 2024 underscores its rising prominence as a hub for institutional and retail capital. With Saudi Arabia and the UAE anchoring regional momentum, the GCC's strategic diversification and SWF dominance signal a future where local asset managers could rival global giants. Recent market volatility offers a chance for change, prompting asset managers to move from recovery to innovation - reimagining value delivery, client engagement, and business operations.' According to the report, the revenue growth in 2024 was driven by market performance rather than investor inflows, underscoring the industry's vulnerability to external forces. Meanwhile, persistent fee compression, shifts in investor preferences, and digital disruption are pushing firms to redesign their business models, accelerate cost innovation, and sharpen their strategic focus. Mohammad Khan, Managing Director & Partner at BCG, said: 'The GCC's asset management industry has demonstrated remarkable resilience and strategic growth, achieving $2.2 trillion in Assets Under Management (AuM) in 2024. With Saudi Arabia and the UAE driving retail mutual fund expansion and Kuwait and Abu Dhabi leading in sovereign wealth fund dominance, the region is steadily establishing itself as a global financial powerhouse. As highlighted in BCG's research, this growth reflects not only recovery but a strategic pivot towards innovation and operational excellence. The next decade will be defined by asset managers who prioritize client-centric transformation, technological advancement, and leaner business models, positioning the GCC as a formidable force capable of rivaling global industry leaders.' The report highlights three forces reshaping the industry globally: 1. Opportunities to Create New Products in Response to Changing Investor Demands Looking forward, asset managers have two opportunities to win in an evolving product and distribution landscape. First, they can claim a larger portion of a shrinking but important pool of actively managed assets - specifically, in active exchange-traded funds (ETFs), model portfolios, and separately managed accounts. Second, they can mobilize to play a key role in the growing market for delivering private assets to retail clients. Retail access to private markets is an expanding frontier, with semi-liquid private asset funds expanding over five times in four years, surpassing $300 billion. This growth is fueled by the demand for better risk-adjusted returns and solid long-term performance, though challenges include navigating regulatory barriers, simplifying product design, and enhancing investor education. 2. A Critical Need for Consolidation and Digital Transformation Strategic partnerships and M&A are reshaping the landscape as firms race to gain scale, broaden offerings, and build technology capabilities. Those overseeing the largest amount of assets can drive costs down through technological synergies, streamlined operations, and process efficiencies, while those managing less than $300 billion must emphasize leaner models. 3. A Renewed Focus on Cost As asset managers emphasize operational efficiency, enhanced decision making, and client engagement, AI has emerged as a key accelerator. GenAI is transforming process automation and product delivery - especially in complex areas such as illiquid and alternative assets - and is now being deployed across the front, middle, and back offices. Nabil Saadallah, Managing Director & Partner at BCG, said: "While currency adjustments and methodology revisions cloud historical comparisons, the consistency of 9% annual growth across the region and GCC reveals a resilient market. Pension funds and SWFs, led by Saudi and Kuwaiti institutions, are quietly reshaping the region's financial architecture, blending tradition with global asset management rigor. Notably, cost discipline is now a strategic focus with firms prioritizing unique value creation, embracing lean practices, and investing heavily in transformative technologies."
Business Wire
10-06-2025
- Business
- Business Wire
Ardian and ROYC Announce Partnership
STOCKHOLM--(BUSINESS WIRE)--ROYC, the leading global Platform-as-a-Service provider for alternative investments, and Ardian, one of Europe's largest private investment firms managing and advising $180 billion in AuM, are today happy to announce a partnership. ROYC will act as a key partner for Ardian in the rapidly growing private wealth segment in Europe. ROYC has made a strong impression on us with its technological platform and professionalism. Share 'We are proud to partner with Ardian, sharing the belief that technology and a data-driven approach are essential for enabling more LPs to invest in Ardian's funds cost-effectively', said Mathias Leijon, Founder & President of ROYC. Erwan Paugam, Head of Private Wealth Solutions at Ardian, added, 'ROYC has made a strong impression on us with its technological platform and professionalism. They will be an important partner to expand our activities in private wealth and in particular for the fundraising of our Ardian Secondary Infrastructure Fund IX'. About ROYC ROYC is the leading European B2B financial technology company that provides a complete private markets operating system, empowering private equity firms, banks, wealth managers, and multi-family offices to seamlessly access, distribute, and manage private investments at scale. As private markets expand, financial institutions require scalable, technology-driven solutions to manage complexity, optimizing fund operations, and delivering exceptional client experiences. ROYC combines state-of-the-art private markets technology with tailored fund structuring and investment solutions. Its intuitive, scalable platform replaces manual processes with automation and real-time data access, transforming how private market investments are managed across the entire fund lifecycle. About Ardian Ardian is a world-leading private investment firm, managing or advising $180bn of assets on behalf of more than 1,850 clients globally. Our broad expertise, spanning Private Equity, Real Assets and Credit, enables us to offer a wide range of investment opportunities and respond flexibly to our clients' differing needs. Through Ardian Customized Solutions we create bespoke portfolios that allow institutional clients to specify the precise mix of assets they require and to gain access to funds managed by leading third-party sponsors. Private Wealth Solutions offers dedicated services and access solutions for private banks, family offices and private institutional investors worldwide. Ardian's main shareholding group is its employees and we place great emphasis on developing its people and fostering a collaborative culture based on collective intelligence. Our 1,050+ employees, spread across 19 offices in Europe, the Americas, Asia and Middle East are strongly committed to the principles of Responsible Investment and are determined to make finance a force for good in society. Our goal is to deliver excellent investment performance combined with high ethical standards and social responsibility. At Ardian we invest all of ourselves in building companies that last.
Hamilton Spectator
06-05-2025
- Business
- Hamilton Spectator
Intesa Sanpaolo Reports Best-Ever Net Income of €2.6BN in 1Q25
MILAN, May 06, 2025 (GLOBE NEWSWIRE) — Intesa Sanpaolo delivered its best-ever quarterly net income in 1Q25, exceeding €2.6 billion and generating an annualized Return on Equity of 20%. This outstanding start to the year supports guidance for 2025 net income well above €9 billion. Strong revenue growth and cost efficiency Intesa Sanpaolo posted a record first quarter for commissions (+7% vs 1Q24), with 11% growth in Wealth Management & Protection related activities. Insurance income saw its best quarter ever (+9% vs 4Q24). Customer financial assets grew by €45.5 billion from March 31, 2024, to around €1.4 trillion, supported by €900 billion in direct deposits and Assets under Management (AuM). Despite significant investments in technology, cost discipline remains a priority. The Cost/Income ratio hit a record low of 38%, one of the best in Europe. Technology investments and digital transformation Technology remains central to Intesa Sanpaolo's strategy. The bank has invested €4.4 billion in its digital transformation, hiring ~2,350 IT specialists and migrating 62% of applications to the cloud. Isybank—Intesa Sanpaolo's digital bank—has reached one million clients, with a strong acceleration in Q1 that confirms the success of the Group's digital strategy. Commitment to Social Impact Intesa Sanpaolo continues to lead in social impact initiatives, deploying more than €0.7 billion from 2023 to 1Q25—including around €65 million in the first quarter—to combat poverty and reduce inequality, supported by a dedicated team of ~1,000 professionals. Outlook for 2025 Thanks to this strong start, Intesa Sanpaolo confirms its outlook with 2025 net income well above €9 billion. Intesa Sanpaolo plans to return over €8.2 billion to shareholders this year, with additional distributions to be quantified at year-end. Pull quotes from CEO Carlo Messina Carlo Messina, CEO of Intesa Sanpaolo, remarked on the results: 'The results achieved in the first quarter of 2025 confirm and reinforce Intesa Sanpaolo's standing among Europe's major banks.' ' In terms of market capitalization, we rank among the leading European banking groups, alongside competitors with significantly larger balance sheets.' 'Amid market volatility and shifting interest rates, we are facing these challenges from a position of strength, thanks to a resilient, efficient and well-diversified business model.' 'We rank first in the eurozone for the contribution of fees and insurance activities to total revenues.' 'Capital generation remains strong: our CET1 ratio stands at 13.3%. During the quarter, we increased it by approximately 45 basis points, confirming the Bank's ability to generate capital consistently and robustly.' ' Technological innovation is a key driver of our success.' 'We are strongly committed to the environmental transition. From 2021 to the first quarter of 2025, we have provided €72.2 billion in support of the green economy.' ' The quality of our people is a decisive factor in generating strong, sustainable results. I am proud of what we have achieved and thank all our people for their extraordinary contribution.' 'Our well-diversified business model, solid capital position and strong income-generating capacity are the pillars of Intesa Sanpaolo's success. We are confident that the Group's existing potential will sustain our leadership in Europe in the years ahead.' Click here for more information on Intesa Sanpaolo's financial results and strategic outlook. Contact: A photo accompanying this announcement is available at
