Asset managers reported long-only institutional assets under management of $27.1 trillion to eVestment at the end of 2017, up from $25.3 trillion at year-end 2016, according to the just-released eVestment 4Q 2017 Traditional Asset Flows Report. Institutional investor flows were net positive for the fourth straight quarter measuring +$15.4 billion in Q4 2017 and +$185.7 billion for the full year.
Fixed income strategies were clear winners in terms of flows with net institutional inflows of +$92.2 billion during the most recent quarter. Equity strategies saw sizeable outflows across a number of categories in Q4 2017. Both active and passive U.S. equity products saw institutional redemptions during the quarter totaling -$98.0 billion.
The quarterly report looks at institutional investment asset flows around the world across strategies, investment geographies, investor domiciles and other categories based on data reported to eVestment by institutional asset managers.
Some other interesting trends highlighted in the report include:
- U.S. fixed income managers continued to see support from U.S. domiciled investors with net allocations of +$66.6 billion.
- Q4 2017 flows from U.K.-based investors were directed largely at U.S. (+$3.4 billion), global (+$3.2 billion), and emerging markets (+$2.5 billion) fixed income and to global multi-asset strategies (+$1.5 billion).
- In contrast to U.K., U.S., and Japan domiciled investors, those in Europe ex-U.K. allocated heavily to global equity strategies, +$12.3 billion during Q4 2017 and +$33.1 billion over the course of the year.
To download a full copy of the report, please click here.