Distributors decreasing optimism during the 2nd Q

28 July 2014
By Fund Buyer Focus

Despite a light deflection during the second quarter 2014, fund selectors’ views of the industry’s prospects remain firmly positive. From a post-downturn low point of only 23% of buyers feeling optimistic about the future in 2012, the gloom has lifted — more than 60% of respondents interviewed over the 12-month period to April 2014 were upbeat about the outlook for the next 12 months, while in June the optimistic share decreased by 53% benefiting the neutral share (+34,9%)*.

The perception of positive feeling varies across local markets in June, each characterized by different nuances and journeys to economic recovery. France (78,26%), Austria (66,67%) and Spain (65,38%) were among the most bullish in the latest research, while the Netherlands (35,29%) and the UK(41,18%), although positive, were slightly less buoyant in their views. In the case of the latter two, disruption to the distribution landscape following the ban on inducements could be distorting views.

*Responses are based on answers to the question ‘How do you view the economic outlook of the fund market over the next 12 months?’. Responses from 243 fund selector interviews between 01/04/2014 and 30/04/2014.