On April 11, 2000, the first two exchange-traded funds (ETFs) based on the EURO STOXX 50 and the STOXX Europe 50 were listed on Deutsche Börse in Germany. With this listing, Merrill Lynch International brought a product to Europe which had been established in the U.S. since 1993. In addition to Germany, the trading of ETFs also began in Sweden, Switzerland, and the U.K. over the course of the year 2000. Even as the first reactions to these new products were positive, no one at that time really expected the future success that ETFs would experience. The following is a

Inflows into money market products boosted the fund flows for October 2021, while European investors were in general further in a risk-on mode over the course of the month. Given the general market environment it was no surprise that October 2021 was a positive month for the European fund industry since mutual fund (+€105.5 bn) and ETF (+€10.6 bn) promoters enjoyed inflows. The overall flow pattern in Europe showed that investors continued to be in risk-on mode in October even as the general flow pattern was driven by inflows into money market products. In more detail, investors bought further into

European investors were generally in a risk-on mode over the course of the year 2021 despite the increased volatility in securities markets. Given the general market environment it was no surprise that we witness some months with mixed results for the flows within the different asset types, even as the European fund industry enjoyed inflows over the course of the first nine months of 2021. In more detail, the promoters of mutual funds enjoyed inflows of €337.0 bn. In line with this, the promoters of ETFs enjoyed record inflows of €126.9 bn over the course of the year so far.

European investors were further in a risk-on mode over the course of August. Given the general market environment it was no surprise that August 2021 was another positive month for the European fund industry since the promoters of mutual funds (+€63.4 bn) and ETFs (+€9.8 bn) enjoyed inflows. The overall flow pattern in Europe showed that investors continued to be in risk-on mode in August despite high inflows into money market products. In more detail, investors bought further into risky assets as long-term funds (+€59.5 bn) enjoyed the highest inflows, while money market products (+€13.8 bn) also enjoyed estimated net

August 2021 marked the seventeenth consecutive month with inflows into ETFs after the outflows caused by the outbreak of the COVID-19 pandemic in March 2020. These inflows occurred in a positive but somewhat volatile market environment in which investor sentiment was still impacted by the dynamics of the COVID-19 pandemic on the economies around the globe and the resulting actions taken by central banks and governments in Europe and other parts of the world. The positive performance of the underlying markets led in combination with the estimated net inflows to increasing assets under management (from €1,197.5 bn as of July

It was no surprise that the European fund industry’s positive flow trend continued in the second quarter of 2021 since the COVID-19 pandemic in Europe was easing further. As a result, European investors continued to be in risk-on mode and the overall flow pattern in Europe normalized further. Within this environment the assets under management in the European fund industry rose from €12.3 tr (as of December 31, 2020) to €14.3 tr at the end of Q2 2021. While ETFs held €1.2 tr, or 8.23% of the assets under management in Europe, the vast majority (€13.1 tr, or 91.77%), were

European investors were in a mixed mood over the course of May, even as the COVID-19 pandemic in Europe has continued easing up further. Within this environment, May 2021 was another positive month for the European fund industry since promoters of mutual funds (+€19.9 bn) and ETFs (+€12.7 bn) enjoyed inflows. The overall flow pattern in Europe showed that investors continued to be in risk-on mode in May. In more detail, investors bought further into risky assets such as long-term funds (+€38.4 bn), while money market products (-€5.8 bn) faced estimated net outflows. In line with the general flow pattern,

European investors were in a mixed mood over the course of April, even as the situation with regard to the COVID-19 pandemic in Europe has been easing up. Nevertheless, April 2021 was another positive month for the European fund industry since the promoters of mutual funds (+€69.9 bn) and ETFs (+€16.6 bn) enjoyed inflows. The overall flow pattern in Europe has further normalized as investors in Europe continued to be in risk-on mode in April. In more detail, investors bought further into risky assets as long-term funds (€79.6 bn) and money market products (€7.0 bn) enjoyed estimated net inflows. As

Despite the deteriorating situation with regard to the COVID-19 pandemic in some parts of Europe, February 2021 was another positive month for the European fund industry since the promoters of mutual funds (+€11.8 bn) and ETFs (+€17.5 bn) enjoyed inflows. The level of the overall flows was skewed by outflows from money market funds as investors in Europe returned to risk-on mode in February. At a closer look, investors bought into risky assets as long-term funds enjoyed estimated net inflows of €88.1 bn, while money market products faced estimated outflows of €58.8 bn. Equity funds (+€50.0 bn) were by far

Looking back on the year 2020, it can be said that no investor has seen such a year before, even if one looks back to the Great Depression or World Wars I and II. The year started off with fears about a possible war between North Korea and the U.S., an upcoming trade war between the U.S. and China, and a possible hard Brexit. In a normal year, these geopolitical tensions would have put enough pressure on the markets to cause a major downturn. But in mid-February the coronavirus, which has been seen as a local problem in China before,

November 2020 was another positive month for the European fund industry since the mutual fund promoters enjoyed inflows (+€74.7 bn). Meanwhile, the market environment has become quite uncertain as the second wave of the COVID-19 pandemic hit major markets in Europe and investors feared a second coronavirus lockdown-induced economic downturn. Despite these fears, investors bought into risk assets as long-term funds enjoyed estimated net inflows of €67.4 bn while money market products had estimated inflows of €7.3 bn. Equity funds (+€63.4 bn) were the best-selling asset type overall for November 2020. The category was followed by mixed-assets funds (+€77.6 bn)

October 2020 was another positive month for the European fund industry since the promoters of mutual funds (+€69.2 bn) enjoyed inflows. Meanwhile, the market environment turned negative as the second wave of the COVID-19 pandemic hit major markets in Europe and investors feared a second coronavirus lockdown-induced economic downturn. Despite these fears, investors bought into risk assets as long-term funds enjoyed estimated net inflows of €51.9 bn while money market products had estimated inflows of €17.8 bn. As a result, long-term mutual funds posted overall net inflows for the month. Equity funds (+€30.4 bn) were the best-selling asset type overall