Q2 2017 highlights of the Ukrainian asset & fund management industry

Asset management companies in Ukraine had UAH 242 billion (EUR 8.1 billion) of the formed Collective Investment Institutions Assets as at the end of Q2 2017. This represents a 2.0% decline (in UAH) for the quarter and 1.1% annually. At the same time, year to date the assets grew by 5.1%.

Total NAV of open-ended CII (funds) amounted to UAH 64 mln as at end June 2017 thanks to growth of 4.8% in Q2 2017 (and 18.2% over the past year). Quarterly net sales turned to positive for the second time during the year and amounted to UAH 0.9 mln, after the outflow of UAH 1.4 mln in Q1. Meanwhile, the stock market edged up by 0.5% in Q2 (by the UX Index).

NAV of closed-end funds with public offer fell by 12.5% in Q2 2017 to stand at UAH 2,396 mln (and by 26.3% annualy). Total net assets of closed-end funds with private placement contracted by 2.0% to UAH 4,969 mln (while annual decline eased to -15.3%, and the YTD result was positive at +2.8%).

Venture CIIs’ total NAV again reversed dynamics – to negative -2.5% (after growing by 8.8% in Q1), to UAH 191,590 mln. While annually they declined by 4.4%, the first-half-year figure was positive at +6.0%.

Number of AMCs grew for the first time in 15 quarters (since Q3 2013) – to stand at 299 companies, while the number of acting formed (‘established’) CII rose for the second time in a row – to 1157. The growth of the number of newly registered CII (mainly in the venture funds sector) continued: 16 such funds emerged in the Q2 2017 (+1.0% of the registered CII in total).

Foreign investors (institutional and individual) in Ukrainian CII amounted to 562 in Q2 2017 and so comprised 0.18% of all CII investors holding 21.6% of their total NAV – up  from 20.8% in Q1. Of those, 92.2% were legal entities, eight of them invested in open-ended funds – up from seven in Q1.

Meanwhile, 72.6% in the open-ended funds’ NAV belonged to domestic retail investors who accounted for 98.5% of all their investors.

Open-ended funds’ RoR in Q2 2017 was +2.7% (annual mean return was +22.7%) and thus these led among the CII categories by fund type in this quarter again (also by the YTD and annual performance).

Among the publicly offered diversified and specialised CII, the highest performance in the second quarter 2017 was, for the fifth quarter, shown by equity funds (+3.5%), with 19.7% YTD RoR and an annual rate of 53.1%. Bond funds were the second again, with +1.2% for Q2 2017 (+2.9% YTD and +11.3% annually).

See more at the UAIB website:

The Ukrainian Fund Market in Figures

Quarterly & Annual CII Industry Reviews

Full report in Ukrainian

Full report in in English to be published soon

For enquiries, please contact:

Anastasiia Gavryliuk (Director of International Relations & Senior Analyst at UAIB) – gavrylyuk@uaib.com.ua