Asset Manager

The global government bond Morningstar category, launched in October 2024, reflects a growing fund landscape with 117 distinct offerings as of February 2025. Divergent economic structures, policy responses, and political backdrops shape investor sentiment.

The monetary forest through which Christine Lagarde and the rest of the ECB are wandering appears to have only one path. During the latest press conference, the ECB President made it clear that the direction of the bank’s interest rate journey is downward.

Investor sentiment has shifted as Trump’s policies fuel inflation fears, but plunging consumer confidence signals economic weakness, driving U.S. Treasury yields lower.

This week’s overview of transfers and other people moves in and around Luxembourg includes updates from Baloise Luxembourg, Hauck & Aufhäuser, Schroders Capital, Capital Group, and Société Générale.

European equity ETFs have experienced a strong net inflow this year. Although the market is driven in the short term by news, investors are ready to expand their positions. Both the inflow into financials and that into industrials is noteworthy.

Esma acknowledges that further research is necessary to obtain a more complete picture of the costs of European investment funds. The European regulator made this statement following criticism from industry association Efama regarding a recent Esma report on these costs.

The market for joint EU bonds is likely to grow significantly in the coming years. In any case, the likelihood of this has increased considerably following the outcome of Sunday’s German parliamentary elections. This is according to financial analysts, asset managers and institutional investors.

For more than eighty years, Europe has been protected under the security umbrella of the United States. Now, as negotiations take place regarding the war in Europe without the involvement of Ukraine or any other European nations, Europe is forced to adopt an independent stance both politically and militarily.

Long the dominant force in Europe’s cross-border fund industry, Luxembourg is now pivoting towards alternative investments as the asset management landscape shifts.

Investors, once emboldened by the so-called ‘Trump trades’ - long U.S. dollar, short U.S. government bonds, and overweight anything American - are now struggling to identify the next structural theme. The big uncertainty: tariffs.