The Asia Pacific region is the No. 1 region for business growth over the next three years for asset managers worldwide, according to a report.
The findings of a new global State Street survey conducted by FT Remark called Frontline Revolution: The New Battleground for Asset Managers finds that 60% of respondents looking to expand to new markets are planning to invest in Asia Pacific.
Thirty-five percent of respondents globally view Asia Pacific as the No. 1 region where the most growth is expected, while 96% of Asia Pacific-based asset managers share the same view.
Almost half (48%) of the Asia Pacific-based respondents believed that developing new products for their existing markets offers the greatest growth opportunity for their business over the next few years, while 21% say they see bringing existing products to new markets as the greatest growth opportunity.
“With the improving economic performance of most Asia Pacific markets, especially China, investors are optimistic about business growth in the region,” says Paul Khoury, head of asset manager solutions in Asia Pacific for State Street Global Services.
According to the report, 81% of Asia Pacific-based asset managers see increased opportunity to enter new markets over the next 12 months, and 48% of them say they plan to do so in the next three years.
China, India and Singapore top the list of target countries. Outside of Asia Pacific, Europe and Latin America are the target regions.
The research surveyed 300 senior executives at asset management firms worldwide in April and May 2014 that manage at least US$5 billion in retail and/or institutional client assets.
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