The Questions to the Panel

Question 1: 2022 in review
What in your view were the most significant developments in the asset management/investment funds landscape in 2022?

Question 2: ESG
Concerns around the quality and the consistency of ESG data and standards and related commentary around greenwashing are a persistent feature of the narrative around ESG investing. What are your overall observations on the trends that the asset management industry must address most urgently in 2023 in this regard?

Question 3: ELTIF
The European Long Term Investment Fund (ELTIF) regime was introduced in 2015 and, despite being the only EU fund type dedicated to long-term investments that can be distributed on a cross-border basis to both professional and retail investors, ELTIFs have failed to flourish. Latest EU figures show only 67 ELTIFs have been authorised with net assets of €2.4 billion. As part of the EU's CMU agenda ELTIF regulations are set to be revamped, removing a number of limitations and increasing flexibility. Do you think the revamped ELTIF 2.0 rules can make the fund type more investible for institutional and retail investors? What potential do you see in the updated regime for fund managers, investors?

Question 4: Hedge Funds
It has been suggested that as a result there could be an acceleration of outsourcing by hedge fund managers, for cost and efficiency benefits, in a number of key areas including trading. What areas do you see as most beneficial for hedge fund managers to outsource? In your experience, what areas are seeing greatest outsourcing demand from hedge funds?

Question 5: Forex
FX factors have grown in importance in asset management in 2022 and are more fixed in the focus of asset managers and promoters as a result. What new solutions can funds service providers offer in this environment in the future.?

Question 6: Markets
What, in your view, were the key drivers behind bond and equity market performance in 2022? How do you expect these markets to perform in 2023?

2022 in review:

What in your view were the most significant developments in the asset management/investment funds landscape in 2022?

ESG:

Concerns around the quality and the consistency of ESG data and standards and related commentary around greenwashing are a persistent feature of the narrative around ESG investing. What are your overall observations on the trends that the asset management industry must address most urgently in 2023 in this regard?

In this issue

The factors shaping 2023 for the asset management industry following a turbulent year

ELTIF:

The European Long Term Investment Fund (ELTIF) regime was introduced in 2015 and, despite being the only EU fund type dedicated to long-term investments that can be distributed on a cross border basis to both professional and retail investors, ELTIFs have failed to flourish. Latest EU figures show only 67 ELTIFs have been authorised with net assets of €2.4 billion. As part of the EU’s CMU agenda ELTIF regulations are set to be revamped, removing a number of limitations and increasing flexibility. Do you think the revamped ELTIF 2.0 rules can make the fund type more investible for institutional and retail investors? What potential do you see in the updated regime for fund managers, investors?

Hedge Funds:

It has been suggested that there could be an acceleration of outsourcing by hedge fund managers, for cost and efficiency benefits, in a number of key areas including trading. What areas do you see as most beneficial for hedge fund managers to outsource? In your experience, what areas are seeing greatest outsourcing demand from hedge funds?

Forex:

FX factors have grown in importance in asset management in 2022 and are more fixed in the focus of asset managers and promoters as a result. What new solutions can funds service providers offer in this environment in the future?

Markets:

What, in your view, were the key drivers behind bond and equity market performance in 2022? How do you expect these markets to perform in 2023?

Supporting Ireland’s fast-evolving Third-Party Management Companies

Nicola Gerety, Client Executive at Northern Trust, looks at the role of management companies in the Irish funds industry, focusing on the use of the third-party ManCo model and its evolving servicing requirements in supporting managers’ distribution strategies.