Euro 100
Talented portfolio managers are decamping to hedge funds, and the impact can be seen in the most senior ranks of European money managers, especially at those firms buffeted by the U.S. mutual fund scandals. They are feeling acute pressure to increase revenues and bolster profits. Last year total assets of Institutional Investor's Euro 100 grew by only 5.3 percent, to E14.5 trillion, despite strong equity market appreciation -- a 28.7 percent rise in the Standard & Poor's 500 index and a 17.4 percent gain in the MSCI EAFE index. Taking top honors for the seventh straight time is UBS, followed by Allianz Group, which appears in second place for a second consecutive year, followed by Barclays Global Investors, which soars from sixth place to third on the strength of both index funds and hedge funds.
How We Compiled the Euro 100
To compile this ranking, Institutional Investor surveyed banks, insurance companies, pension funds, independent fund managers and foreign money management firms with registered offices in Europe. European companies and companies headquartered in Europe (for example, HSBC Holdings) were asked to report global assets under management. Non-European companies were asked to report only European-derived assets (invested domestically or internationally) and non-European assets slated for investment in Europe. Data from questionnaires completed by the institutions themselves, which was supported by annual reports, additional reporting and follow-up faxes and telephone calls. The numbers are as comparable as possible, considering the different accounting practices in Europe. Assets are stated in euros. In some cases, assets at continental European institutions are higher than reported because their accounting rules require that they value assets at the lower of cost or market value. As a result of currency conversion and rounding, not all columns add up.