Asset management in Asia in 'hyper-growth' mode

PENSION reforms, the "great wall" of Chinese capital and burgeoning affluence, are combining to drive the growth of asset-management firms in Asia over the next five years.

McKinsey & Company said in a report that asset management in Asia is already in "hyper growth" mode, and "the good news should continue".

A large part of the growth is also expected to come from currently unmanaged assets shifting to third-party professional managers. Nearly 90 per cent of total financial assets in Asia, or about US$110 trillion, are outside the asset management industry. This compares to about 60 per cent in the US and 70 per cent in Europe.