Bulgarian mutual funds’ AUM surge 31%, surpass 2007 peak

Bulgarian mutual funds’ assets under management surge 31% y/y in 2016 to BGN 1.041bn, according to latest data from the Bulgarian National Bank. The data excludes money market funds.

The latest AUM high surpasses the 2007 pre-crisis peak of BGN 890m. Accordingly, they represent 3.1% of GDP, also highest so far.

Investors go for equity funds

Equity funds registered 40% y/y rise in AUM, while bond and balanced funds booked 23% and 32% y/y growth in AUM. The latter AUM surge is due both to capital gains and new inflows into the industry.

Households’ share still to rise

Corporates doubled their investments in Bulgarian mutual funds in 2016 to BGN 80m but pension funds, insurers and households remain the key investors with the former’s investments rising 42% y/y.

Households’ investments in local mutual funds increased 22% y/y, below overall industry rise, thus inflows from these investor type are yet to rise due to the low interest environment.

AUM of international mutual funds sold in Bulgaria advance 27% y/y to BGN 1.8bn. Thus, the overall mutual fund industry in the country added 29% y/y to BGN 2.9bn.

ELANA’s asset manager celebrates 15 years

ELANA Fund Management, asset management arm of ELANA Group, celebrates 15 years in 2017. Being one of the very first fund managers in the country, it now manages 7 funds with various profiles (from bond funds to global equity) and discretionary portfolios. ELANA started some of the first Bulgarian mutual funds. Company AUM rose approx. 30% in 2016 and amount at approx. BGN 100 mln.

In the course of 15 years ELANA Fund Management has been recognized with 13 national and international awards based on ranking of performance. For 2016, the Company was ranked Best Bulgarian Asset Manager by local Banker Weekly.

ELANA funds’ performance

ELANA Fund Management presentation

Mutual funds statistics from the Bulgarian National Bank