CPR Asset Management saw strong demand from international investors despite a challenging market backdrop in the year 2018.
Inflows were evenly spread across European markets, with over half coming from Italy, Spain, Austria, Germany, and Benelux. 46% of flows were generated from Asia (Japan, Hong Kong, South Korea, and Taiwan).
Retail flows represented the majority of assets gathered throughout the period, thanks to the expansion of CPR AM's "CPR Invest" international SICAV, which offers investors access to CPR AM's 17 strategies, including its flagship thematic range. Total international AUM (excluding France) reached €6.4bn, compared to €3.8bn in 2017. This represents a 68% increase in international AUM, now representing 13% of CPR AM's total AUM.
Thematic equities management has been an important growth driver for international flows, with net inflows of €2.3bn, representing a three-fold increase year on year. In particular, Global Disruptive Opportunities recorded over €1bn in inflows in 2018 while Silver Age recorded €528m, taking total AUM to €2.4bn. Food for Generations, launched at the end of 2017, attracted €63m.
CPR AM also expanded thematic range's ability to apply ESG analysis through the launch of two funds: Education and Climate Change.
Quantitative management, including dynamic allocation and factor investing approaches,recorded €860m of inflows. The full range of quantitative management now applies CPR AM's ESG risk management approach. This has helped us win two significant fund management mandates in Asia.
Multi-asset strategies recorded €440m of inflows, despite a challenging market environment.
In October 2018, Amundi launched its three-year ESG action plan, which included initiatives to integrate ESG analysis across all funds and voting practices. CPR expertise in responsible investing is fully supported by the wider group's plans for socially responsible investing. Building on the quality and depth of our parent company Amundi's ESG database, we developed innovative solutions implementing a complementary risk-based ESG approach. These solutions seek to enhance value creation potential through the selection of appropriate criteria combinations.
CPR AM wants to increase their presence in the French market within the institutional, corporate, and wealth management segments, while also boosting its international growth by focusing on the distribution and institutional segments of the market.