New Funds in Global Markets 4Q 2018 - Asia, Local Europe, and Cross-border

A total of 1503 new funds were launched in Q4 of 2018 locally in Asia and Europe as well as in the form of cross-border products. The newly introduced funds gathered a total of $94.4 billion in net sales through last quarter of 2018.

There were 119 ETFs launched during Q4’18: 63 of which were launched in Asia, 55 of which were cross-border and one of which were European.

New Asian funds have taken the majority of sales in absolute terms over the last three quarters with 55%, 62% and 62% in Q2’18, Q3’18 and Q4’18, respectively.

In the last quarter of 2018, Asia saw the highest average inflow of US$74 million per fund. The greater sales of new funds in Asia were contributed by both two factors, the higher rate and higher sheet number of funds being launched, compared to that in the more mature European market.

In Q4’18, the average newly launched equity fund took in US$62 million, compared to US$120 million for bond funds and US$34 million for mixed asset funds.

There were 909 new funds launched in Asia in the Q4’18 period which gathered US$67 billion in new investor money. Bond funds attracted the largest absolute inflows at US$35.8 billion with the most funds, at 266, being launched in the period. Equity funds collected the second-largest net cash flows of US$14.2 billion.

New fund sales in European and cross-border funds totalled US$41 billion in Q4’18. Net flows were less evenly spread across asset classes than during Q3’18, when bond and equity funds dominated. Equity funds were the most popular choice, with US$13.2 billion invested into new launches, while mixed asset funds took in US$6.6 billion and equity funds saw US$11.6 billion in net flows.