Amundi celebrates record 2021 and Lyxor acquisition
Amundi ETF | Best Emerging Markets Equity ETF Issuer ($1bn+) | Best European Equity ETF Issuer ($5bn-$50bn)
Lyxor ETF | Best European Fixed Income ETF Issuer ($1bn-$10bn) - Q&A with Arnaud Llinas, Head of ETF, Indexing & Smart Beta at Amundi
Why do you think you won this award?
Amundi is honoured to have been awarded by ETF Express for three of its ETFs. This award recognises the innovation and quality of our products, and the commitment to help our clients build up efficient portfolios using ETFs, which are increasingly used by all kind of investors and prove to be efficient tools for rapidly building and reorienting investment portfolios across all asset classes while maintaining transparency, cost-efficiency, and liquidity.
What is the size and scale of your business at the moment?
Following the Lyxor acquisition, and after a record 2021, Amundi is the leading European ETF provider, with an ETF market share of 14 per cent in Europe and EUR310 billion AuM for its whole passive business line (combining ETFs, Indexing and Smart Beta). We aim at increasing by 50 per cent the AuM of Amundi’s passive platform and we have set the target of having 40 per cent of our ETF range made up of ESG ETFs by 2025. We want to establish ourselves as the preferred European passive provider for all kind of investors in Europe, Latin America and Asia, thanks to the Group’s long-lasting footprint in these regions and the breadth and depth of our product offering. Our new size in passive management, as well as a combined range of more than 300 ETFs on all asset classes, gives us stronger firepower to be closer to our clients everywhere and to serve them at best, from institutional, to distributors and wealth & digital platforms.
What trends have you seen over the past year?
ETFs have been increasingly used by all types of investors and continue to hit new records of flows (+ EUR159 billion in 2021). The biggest trend is undoubtedly the shift to ESG, and ETF have a key role to help investors reorient their capital on a large scale towards ESG and climate investments. ETFs have emerged among all type of clients, as efficient facilitators of ESG transition. Indeed, more than 50 per cent of last year’s net new assets in Europe came from ESG investments. Amundi’s core belief is that they will contribute to democratise access to meaningful investing in a cost-efficient way. Thematic ETFs are also increasingly used by investors, in particular wealth managers and retail investors.
Where do you see the ETF industry going in terms of products over the coming year?
ETF are increasingly used by all kind of investors. The shift to ESG will continue, and the EU’s PAB and CTB climate indices will further help investor counter climate change, also through ETFs. We believe that index management is fully compatible with responsible investing and that it will play a key role in accelerating its adoption among all type of investors. Thematic ETFs, especially on megatrends such as mobility of the future, smart cities, disruptive technology, digital economy, are increasing popular among investors. Thematic investing aims to address long-term and secular trends such as shift in global economic power, demographic and social change, urbanisation, technological breakthrough, but also climate change and resource scarcity. In the coming months investors will be looking also for tools allowing them to protect against inflation, such as TIPS, inflation-linked, inflation-expectations, floating rate ETFs and cash solutions.