MANAMA: The assets management Industry globally has reached around US$80 trillion as of the end of 2018. It has also grown significantly, with Assets Under Management (AUM) roughly doubling over the past decade, says a senior official at the Central Bank of Bahrain.
Abdul Rahman Al Baker, Executive Director of Financial Institutions Supervision at Central Bank of Bahrain (CBB) told the participants of the 4th Middle East Assets Management Forum 2019 held on Monday at Gulf Hotel Kingdom of Bahrain.
Titled ‘Strengthening the Regional Asset Management Industry’ the 4th Middle East Assets Management Forum 2019 held on Monday at Gulf Hotel Kingdom of Bahrain, the Forum attracted 300 delegates.
Addressing the opening session of the 4nd Annual Middle East Asset Management Forum Al Baker said the deliberations of the Forum would highlight important areas of assets management industry that would contribute towards further development and growth of the regional Asset Management services.
The Assets Management industry has grown to become an increasingly substantial segment within the international financial markets. Generally, it is estimated that the assets management Industry globally reached around US$80 trillion as of the end of 2018. It has also grown significantly, with Assets Under Management (AUM) roughly doubling over the past decade. In the United States, for example, the Assets Under management have risen almost six-fold since 1946, from around US$6.5 trillion in AUM to more than US$38 trillion in 2018. In Asia, the growth of Assets Under Management is significant as they grow more than six-fold, from US$2.2 trillion in 2007 to US$13.9 trillion in 2018. All of this clearly indicates that global asset management industry is likely to continue its upwards trend, absolutely and relative to the economy, and it is expected to grow to reach US$100 trillion by 2020. This growth will be mainly due to the growth of the economies of the US, Asia especially China, and Africa and the Middle East. Basically, the growth of assets will be driven by three key trends: the government-incentivized shift to individual retirement plan, the increase of High Net-worth Individuals from emerging populations and the growth of Sovereign wealth funds (SWFs).
