Fidelity International

The amended EU proposals for a retail investment strategy have spurred asset managers to reflect on the value the offer for the money that they take, it beame clear at a Luxembourg discussion at the ALFI conference.

Fund managers are beefing up their exchange-traded fund (ETF) ranges, to judge from a recent flurry of product launches. Luxembourg’s fund industry faces a dual threat: these ETFs launched in Ireland and are taking market share from traditional Ucits mutual funds, its core product.

Both Paris-based AXA Investment Management and Boston-based Fidelity Investments have recently launched products offering active management and research at a lower cost.

 All of Fidelity International’s sales offices are now supported from Luxembourg, which has a “hub” function in the asset manager’s organisation. A new reorganisation was implemented this year. 

This is confirmed by Sanela Kevric, who has been head of the Benelux region since 2022. She said she is supported by two experienced sales directors based in Brussels and Amsterdam, and by a marketing team and sales support. The Benelux remains one of Fidelity’s strategic markets, she said. 

Romain Boscher of Fidelity expects a sharp divergence in stock market performance during the recovery phase, with financial health as the decisive factor.

‘Earnings expectations continue to deteriorate rapidly, and we are now expecting a decline of at least 20% in the most favourable scenario, with a potential decline of 30-40% in the least favourable assumptions,’ says Boscher, Global CIO Equities at Fidelity International.