Asset Management in Russia

2023: Growth in the value of assets under the management of the Criminal Code in Russia by 40.7% and up to 20.9 trillion rubles

At the end of 2023, the value of assets under the control of management companies (MC) in Russia reached 20.9 trillion rubles. This is 40.7% more than in the previous year, when the final result was approximately 14.9 trillion rubles. Such data were published by the Bank of Russia on March 7, 2024.

The published report says that by the end of 2023, the bulk of the increase was ensured by an increase in the value of net assets (NAV) of mutual investment funds (UIFs) - due to a record inflow of shareholders' funds and positive returns on funds. A significant amount of funds was provided by closed mutual funds, the shareholders of which are wealthy investors - individuals.

source = CBR

The popularity of mutual funds among the population in Russia in 2023 increased, despite an increase in deposit rates, which could put pressure on the dynamics of the receipt of funds into funds. The inflow of citizens' money into mutual funds is associated with a change in the structure of demand in favor of real estate funds, attractive during a period of increased market volatility, and money market funds, the profitability of which may be at the level or even higher than deposit rates. At the end of 2023, the average yield of ruble money market funds that have existed since the beginning of the year amounted to 9.6%, which is higher than the weighted average interest rate on deposits of individuals with a period of up to 1 year opened in January 2023 (5.3%).

The study also says that the remuneration of the management company in 2023 increased by 37.1% compared to the previous year, reaching 95.9 billion rubles. At the same time, net profit rose by 44.1% - to 55.6 billion rubles. The trading and investment income of the management company decreased by 1.6% year-on-year, while costs increased: personnel costs rose by a quarter, general and administrative expenses - by 12.5%.^[1]

Overview of Key Performance Indicators of Management Companies

Notes