The Cyprus Securities and Exchange Commission (CySEC) reported a robust performance in the country’s collective investments sector for Q4 2024, with total Assets Under Management (AUM) reaching €10.1 billion — a quarterly increase of 10.21% and an annual rise of 17.66%.
Despite a 2.13% year-on-year decline in the number of Management Companies and Undertakings of Collective Investments (UCIs) — down to 321 from 328 — the sector saw strong capital inflows and asset growth. The 321 regulated entities comprise 220 Externally Managed UCIs, 32 Internally Managed UCIs, and 69 External Fund Managers.
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A Breakdown Of The Industry Structure
- Management Companies: 45 AIFMs, 48 Sub-threshold AIFMs, 3 UCITS Management Companies, and 5 dual-licensed entities (AIFM & UCITS).
- NAV: UCIs managed by these entities reported a Net Asset Value (NAV) of €9.6 billion.
Asset Distribution
- 60% of AUM is managed by AIFMs
- 18% by dual-licensed AIFMs & UCITS managers
- 11% by Sub-threshold AIFMs
- 10% by UCITS Management Companies
- 1% by foreign-managed UCIs
UCITS allocations leaned heavily toward transferable securities (87.6%), with smaller proportions in other UCIs (9.2%) and bank deposits (2.0%). AIFs, AIFLNPs, and RAIFs favored Private Equity (30.4%), Real Estate (14.7%), Funds of Funds (13.9%), and Hedge Funds (10.6%).
Local Footprint and Investment Trends: Of the 227 UCIs currently active, 201 are domiciled in Cyprus, collectively managing 75% of the total AUM. A notable €2.9 billion — 28.63% of the total — is invested partially or fully in Cyprus, with 65.2% of that focused on Private Equity and 13.5% in Real Estate.
Investor Composition
- UCITS: 99.1% retail investors
- AIFs, AIFLNPs, RAIFs: 64% well-informed investors, 23.9% professional, 12.1% retail
Sector Allocations (Q4 2024)
- Shipping: €709.2 million (7.04% of total AUM)
- Energy: €496.3 million (4.93%)
- Fintech: €258.1 million (2.56%)
- Sustainable Investments: €86.4 million (0.86%)
CySEC’s latest data reflects steady growth in Cyprus as a fund management hub, driven by investor confidence and diversification across asset classes and sectors.
