Navigating for Growth

Asset Management in Asia Pacific

November 2013

Asia is at the heart of the economic transformation that is reshaping the world economy. The fund management industry is seeking to take advantage of this shift, in particular by pursuing growth opportunities created by the increasing investment in Asia and the region’s growing supply of domestic capital. At the same time, the sector needs to address the difficulties in obtaining acceptable returns from challenging, fragmented global markets.

Our survey of 200 senior asset management industry executives based in the Asia Pacific region reveals the opportunities and challenges facing the sector and what companies can do to address them. Its key findings include:

  • Fund managers in Asia Pacific are looking to expand within the region, especially into frontier markets
  • The region’s fragmented markets are a substantial barrier to growth
  • Product innovation is a major challenge
  • The distribution landscape will be transformed
  • Keeping talent is even harder than finding it

Take a look at our report for the full story, plus additional insights from a series of industry roundtables with corporate leaders.


About the Research

For this study, State Street commissioned Longitude Research to conduct a survey of senior asset management industry executives based in the Asia Pacific region. Of the 200 respondents, the largest proportion (46 percent) work for domestic asset management companies headquartered in Asia Pacific, 36 percent for major international business that are also headquartered in the region and 19 percent for international businesses from outside.

In addition to the survey, State Street conducted roundtable discussions with corporate leaders from the fund management industry in Singapore, Sydney, Hong Kong and ­Tokyo.

Rapid growth, the emergence of a large and affluent middle class and impressively high saving rates combine to create huge opportunities for fund managers with their eyes set on growth.