Returning to growth and other stories

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Just like the broader economy that it serves, the asset management industry is returning to growth. Yet this growth is far from uniform – there are pockets of flourishing activity and areas of continuing weakness.

Take Asia, for example. The region’s recovery already appears far healthier than elsewhere and business volumes are approaching pre-crisis levels. Fund managers are looking forward to significant growth in fields such as pensions and wealth management.

In real estate, where our Emerging Trends in Real Estate® Europe 2010 shows values and rents stabilising, there are similarly locations that appear more favourable than others, even just within Europe.

What is clear is that 2010’s recovery is not simply a return to business as usual. In tomorrow’s asset management world, efficiency will be more important – hence our view that ETFs will become the industry’s building blocks. And regulators will play an increasingly important role in channelling growth, especially for alternative sub-sectors such as hedge funds.

Such a recovery rewards intelligent management strategy and tactics more than ever. The successful will be those that navigate the geographical, regulatory, taxation and product issues most skilfully.