The assets of the Investment Funds grew in Spain by more than 10% in 2017
After 16 quarters of continuous growth, Spanish GDP has recovered all the activity lost during the crisis. Along with GDP, the financial situation of Spanish families improved significantly during the past year. Motivated not only by the slight increase in the balance of financial assets, but also by the decrease in net liabilities incurred and the increase in the value of real estate assets.
In addition, 2016 was the fourth consecutive year in which the reference financial asset for Spanish families was Collective Investment Institutions (Investment Funds and Investment Companies). During these four years, families have doubled their holdings of Investment Funds. Thus, it is the financial instrument with the highest balance increase in the period. At the end of 2016, the total volume of Collective Investment Institutions (CII) in the household portfolio amounted to 264,000 million euros. Therefore, it already exceeds 13% of the total financial savings of families.
The equity of the Investment Funds grows more than 10% in 2017
The assets of investment funds have grown so far this year by 10.06%, from 236,000 to 259,000 million. Last year at this time the growth was 4.49%. So, it could only be very good news for the investment fund industry in Spain.
The funds that have the highest relative gain in their assets are those of a global type, which go from managing 21,250 million at the beginning of the year, to managing 31,300 million today. The variation in its assets in the last 12 months has been spectacular, increasing its assets by 163%. In contrast, although their weight in total domestic funds is considerably less, those with the greatest relative loss of equity have been fixed and monetary guaranteed funds.
Subscriptions and refunds
Taking into account the total net subscriptions, the funds that received the most net subscriptions, that is, subscriptions minus reimbursements, were global and international. Global funds received net subscriptions close to 10 billion euros. For their part, as we have seen previously, investors lose interest in monetary funds, fixed guarantees and passive guarantees.
As a more complete analysis, the following graph takes into account what part of the change in equity corresponds to management and what part corresponds to subscriptions or redemptions. For example, 10% would imply that, ignoring the inflows / outflows of funds, thanks to the management, the manager has generated a 10% increase in the fund. On the contrary, a value of -10% would imply that, without taking into account subscriptions and withdrawals, the manager has generated losses of 10%. In conclusion, positive values are interpreted as positive management and negative values as negative or lossy management.
The importance of this calculation is that the increase in the assets of some funds is due to capital inflows and not to returns generated by good management. Conversely, the loss of a fund's assets does not necessarily imply mismanagement.
The best-managed funds have been national, global, international and short-term fixed income equities. In which the increase in equity has been greater than the increase in net subscriptions. Or, in the case of short-term fixed income, the reduction in equity has been less than the reduction in net subscriptions.
Number of participants in investment funds
Lastly, the number of participants and shareholders of investment funds is evolving favorably. Being 2017, the year with the greatest increase in shareholders in absolute value since 2008. With almost 2 million new participants, exceeding the figure of 10 million participants in Investment Funds. In contrast to the 6 million shareholders in 2008 and the 4.5 million shareholders at the end of 2012.