Investment funds and asset management market in Poland, edition 2020
Research report: Investment funds and asset management market in Poland, 2020

pdf file Investment funds and asset management market in Poland, 2020

In line with trends observed in previous years, assets under management in Poland remained very volatile in 2019 and in the 1st half of 2020. Total assets* went down to PLN 588 billion in H1 2020 and this drop could be attributed to a very weak performance of equity markets impacted by accelerating Covid-19. The extraordinary situation has negatively affected all segments of the AM sector, although this was not equally visible across particular segments, in particular in the case of the 3rd pillar, where strong new inflows more than offset falling valuations. As of June 2020, assets of investment funds** contracted to PLN 281 billion, reserves of insurance companies remained almost unchanged at PLN 148*** billion, second-pillar pension funds plummeted to 132 billion, and third pillar pension assets increased slightly to PLN 27 billion. Overall, the asset management sector remained medium-concentrated with the top four groups: PZU, Aviva, NN, and Ipopema controlling over 52% of the entire market.

the outlook
Overall assets under management in Poland are expected to fall in 2020 but then rebound through 2022. Particularly promising will be the 3rd pillar pension segment where significant new flows will drive AuM regardless of their initial performance. The new legal framework, in force since mid-2019, has mandated employers to enrol their employees and to match employee contributions. A further boost to 3rd pillar assets will be supplied by the final dismantling of 2nd pillar pension funds, expected around 2021-2022, although this is going to be a zero-sum game for the AM sector as a whole. As far as the profitability of asset managers is concerned, the fund management fee cap is a negative element, however, fund managers will intensify their efforts to offset limited revenues by reducing operating costs, increasing the share of passive strategies, and consolidating operations (through M&A).

* Across key categories: Investment funds, Insurance assets, Pension assets (2nd and 3rd pillar); Excluded are bank and structured deposits, equities and bonds held directly by private individuals
** Figures reported by the National Bank
*** Technical reserves of non-life and life insurers, including unit-linked life funds as reported by KNF



Table of contents

1. Executive Summary
2. Asset Management Market
Slide 1: Asset management market in Poland: Key Segments, 2020 H1
Slide 2: Assets under management evolution, 2016-2020 H1
Slide 3: Top asset managers (groups) by AuM, 2020 H1
3. Investment Funds
Slide 4: CEE 8 Investment fund industry – size vs. growth matrix, 2017-2020 H1
Slide 5: CEE investment funds penetration benchmarks, 2020 H1
Slide 6: Evolution of assets, number of funds & managers 2015-2020 H1
Slide 7: Fund assets by type of fund (open-end, closed), 2015-2020 H1
Slide 8: Fund assets by type of fund (public/non-public assets), 2015-2020 H1
Slide 9: Fund assets by underlying asset mix, 2017-2020 H1
Slide 10: Top 10 players in investment fund market, 2020 H1
Slide 11: Market share evolution of top fund managers, 2018-2020 H1
Slide 12: Products: Absolute return funds, 2014-2020 H1
Slide 13: Innovation in distribution– online platforms, 2020
Slide 14: Investment fund assets flows, 2017Q1-2020 Q2
Slide 15: Fund assets structure – by declared investment profile, 2020 H1
Slide 16: Ownership of funds by groups (retail/financial/other), 2014-2020 Q1
Slide 17: Local funds invested in foreign assets and foreign funds, 2020 H1
Slide 18: Assets of foreign funds, 2015-2019
Slide 19: Fees and commissions charged by top fund managers, 2020 Q3
Slide 20: Revenues and costs of fund managers, 2019
Slide 21: Profitability tree for fund managers, 2016-2019
Slide 22: Regulations: The new fixed fund management fee cap
Slide 23: Top players' profiles - Ipopema TFI
Slide 24: Top players' profiles - PKO TFI
Slide 25: Top players' profiles - PZU TFI
Slide 26: Top players' profiles - Pekao TFI
Slide 27: Top players' profiles – NN IP TFI
Slide 28: M&A transactions including fund managers in Poland, 2010-2016
Slide 29: M&A transactions, 2017-2019
4. Pension Funds
Slide 30: Composition of the pension sector in Poland
Slide 31: Pillar II: Assets, members, average account value, 2015-2020 H1
Slide 32: Pillar II: Pension top asset managers, 2020 H1
Slide 33: Pillar II: Pension managers profitability tree, 2016-2019
Slide 34: Pillar III (Voluntary) - Assets, members, 2017-2020 H1
Slide 35: Pillar III – New regulations - PPK (3rd pillar) vehicles
5. Insurance Assets
Slide 36: Technical reserves by type evolution, 2015-2020 H1
Slide 37: Technical reserves by segment and by company, 2019
Slide 38: Profitability of life insurers, 2015-2019
Slide 39: Profitability of non-life insurers, 2015-2019
6. Forecasts
Slide 40: Asset Management Market: Mid-term forecast: investment fund assets, pension assets (p2, p3), insurance investments, 2020-2022
7. Notes on methodology
End of report.