Round Table 16:00 18:00 Share Innovative Solutions To Face Global Concerns

Transcription

1 Round Table 16:00 18:00 Share Innovative Solutions To Face Global Concerns Paris Europlace Forum, Paris, July 11, 2013 Pierre Bollon, Director General, AFG 1

2 Presentation of Paris Fund Industry A collective initiative Coordinated by AFG, the French Asset Management Association Gathers the whole Paris-based investment fund value chain: asset managers, custodians, lawyers, auditors, data providers, academics, Paris-Europlace, the French regulator (the AMF) and the French Treasury Main objectives Assisting foreign professional investors who plan to make use of a Paris-based asset manager or service provider, to sign a portfolio mandate, to invest in a Paris fund or to launch a Paris fund (UCITS or AIF) Giving information to foreign service providers regarding the facts and figures as well as the regulatory framework applicable to the highly competitive Paris fund and asset management center A large range of marketing channels Information: and Conferences: + a series of publications in Chinese, in Brazilian, in Arabic, Romain Guizard Pierre Bollon International Development Manager Director General AFG (French Asset Management Association) AFG (French Asset Management Association) info@parisfundindustry.com p.bollon@afg.asso.fr Direct line Direct line Switchboard Switchboard Paris Fund Industry website: AFG website:

3 A Vibrant Industry of Players A teeming ecosystem of skills and functions More than 600 Asset Management Companies, generalist or specialized : stock picking, quantitative, absolute return, structured, ETFs, hedge, indexed, credit, private equity, real estate, wealth management, 4 Asset Managers in the top 20 worldwide: Amundi Asset Management, AXA Investment Managers, BNP Paribas Investment Partners, Natixis Global AM Group Over 200 new Asset Management Companies created over the last 5 years 35% of the assets under management of the France-domiciled funds managed by French boutiques are invested by foreign clients 3 global custodians in the top ten worldwide: CACEIS, BNP Paribas Securities Services, Société Générale Management companies types 100% 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% As a % of asset management companies As a % of totalassets under management Banks subsidiaries Insurances subsidiaries Entrepreneurial management firms 3

4 A Unique and Innovative Range of Funds with more than 2,700 Cross-Border Paris UCITS Funds Registrations around the World The first SICAVs in Europe were launched in France, in exactly 50 years ago 12,000 investment funds, including: 3,000 UCITS funds 9,000 AIFs, i.e. single hedge funds, funds of hedge funds, managed futures funds, private equity funds, real estate funds, nationally regulated retail funds Over EUR 2,700 billion under management, including: EUR 1,300 billion for investment funds EUR 1,400 billion for discretionary mandates and funds domiciled abroad More than 2,700 cross-border Paris UCITS funds registrations around the world Paris AIFs covered by the AIFM Directive represent EUR 996 billion of assets under management 4

5 A Leading Fund Managers Center in Europe, with 19% of Market Share by AuM A leading position in Europe as a fund managers center in Europe (19% of market share, i.e. EUR 1,700 billion) The number of Paris-based entrepreneurial management companies has grown constantly over the last decade, nearly increasing twofold! It explains why the terminology French boutiques is now so commonly used in the asset management sector and why Paris attracts such a high number of international talents. 5

6 A Major Fund Domiciliation Center in Europe, with 17% of Market Share by AuM Second center in Europe as a fund domiciliation, with 17% of market share for all investment funds (UCITS and AIFs), in particular 18% of market share for UCITS and 19% for UCITS hedge funds ( NewCITS ) 6

7 An Outperforming Industry for Decades 7

8 Regulation: the Right Balance Between Pro-business Efficiency and Deep Investor Protection Authorization of Paris UCITS and AIF fund in just a few days by the AMF 1st authorization of UCITS and AIFs by the AMF in less than 21 days on average Next launches of similar UCITS and AIFs in less than 8 days, through a fast-track process Same pace of fast-track procedure guaranteed for all non-retail funds Professionals benefit from the use of electronic filing set up by the AMF Prompt licensing of a Paris-based asset management company by the AMF 77% of the new asset management companies are authorized by the AMF in less than 75 days A very secure regulatory environment Within asset management companies, compliance and internal control responsibility has to be delivered to a person holding a professional license issued by the AMF, following a specific examination (RCCI) France-domiciled UCITS comply fully with the UCITS Directive Paris-based asset management companies are not allowed to hold assets in custody themselves and have to comply with a strictly regulated internal audit Management companies external auditors are strictly regulated French fund custodians are extremely safe: they are responsible for a significant amount of monitoring in addition to being responsible for providing custody. They have a clearer obligation to return fund assets as compared to other European jurisdictions The comprehensive range of Paris funds has been positively tested for several decades, not only because of an appropriate regulation but also as Paris-based management companies and fund depositaries have built comprehensive skills in managing risks - long before the UCITS IV and AIFM Directives which largely took on board the successful approach of the Paris fund industry. 8