Europe Fixed Income Assets Management Industry Market Size (2024 - 2029)

Europe Fixed Income Assets Management Market Analysis

The Europe Fixed Income Assets Management Industry is expected to register a CAGR of greater than 2% during the forecast period(2024-2029).

Portfolio allocations to fixed income are primarily driven by investors' expectations of returns, followed by volatility concerns and liquidity requirements. Within core European fixed incomes, investment-grade corporate bonds are primarily used to deliver returns. In contrast, lower-yielding sovereign debt includes a more operative function of liquidity and duration matching. Non-core fixed-income classes such as global high yield and emerging market debt are expected to deliver the strongest overall performance. Conversely, reflecting the return expectations noted above, global high yield and emerging market debt are sought-after sources of total return and yield generation.

On average, European institutions are allocating 56% of their portfolios to fixed income and twice their equity allocation. Two-thirds of European institutions manage their fixed income on a wholly active basis. However, there is a growing minority looking to manage core assets such as domestic government bonds passively, primarily using index funds. Half the European institutions include a fixed-income portfolio of five to ten years.

The COVID-19 pandemic highlighted the need to continue technological modernization at every investment management delivery chain level to deliver the best customer outcomes. The operating model is also increasingly focused on the importance of the Diversity and Inclusion (D&I) agenda.

Europe Fixed Income Assets Management Industry Segmentation

Fixed income is an investment approach focused on preserving capital and income. It typically includes investments like government and corporate bonds. The scope of the report covers an understanding of the European fixed-income assets management industry, regulatory environment, asset managers and their business models, detailed market segmentation, product types, current market trends, changes in market dynamics, and growth opportunities. An in-depth market size analysis and forecast for the various segments are also covered. 

Europe Fixed Income Assets Management Industry is segmented by the source of funds (pension funds and insurance companies, retail investors, institutional investors, government/sovereign wealth fund, and other sources of funds), type of asset management firms (large financial institutions/bulge bracket banks, mutual fund ETFs, private equity and venture capital, fixed income funds, managed pension funds, and other types of asset management firms), and country (United Kingdom, France, Germany, Switzerland, Netherlands, Italy, and rest of Europe). The report offers market size and forecasts for Europe's Fixed income Assets Management Industry in value (USD) for all the above segments.