The knockout growth of Asset Management

Scott Grundy 30.05.2014

Is Asset Management about to take centre stage?

With the ever looming super-middleweight contest, between the young George Groves and the experienced Carl Froch, quickly approaching at Wembley stadium in two weeks' time in front of 90,000 fans, the British boxing remit is possibly the biggest it has indeed ever been.
This is a contrast between an up-and-coming challenger and a well-established name in the industry, both competing on the biggest stage. In one corner you have the calm, cultured and experienced Froch and in the other, the ambitious, energetic and maturing Groves.
A similar contrast could be made when comparing the current financial climate in terms of the growing asset management area and the already well-established investment banking area.Asset Management has long been in the shadows of its cousins, the banking and insurance industries.
PwC’s latest report on Asset Management, “A brave new world”, has predicted that the global assets under management (AUM) will rise to around $101.7 trillion by 2020 from a total of $63.9 trillion in 2012, which shows a compound annual growth rate of nearly 6%.

Asset Management is set to take centre stage. It has long been in the shadows of its cousins, the banking and insurance industries, and like Groves it will have use all of its current momentum to push through and hit the predicted 2020 targets.
At Morgan McKinley we are already seeing the indicators of these predictions. There is an increased level of buoyancy and belief in the market which in return has caused an upturn in opportunities.
As the index looks to grow for the sixth consecutive quarter, an increasing number of the big players in the market, as well as the small emerging hedge funds, are continuing to grow out their functions.

Who are you backing to come out on top?

Scott Grundy's picture
Manager | Investment Banking and Investment Management Finance