NETHERLANDS - Dutch pension assets managed by external managers soared by 21% in the year ended March 31 to €922bn ($1.3trn), a report by consultancy Bureau Bosch shows.
"There is a continued growth of the external management of pension scheme assets," the report says.
According to figures by the Dutch Central Bank, total pension assets reached €701bn in the first quarter, up from €580bn largely because of strong market conditions. But Bureau Bosch's figures exceed those figures because they include double-counting from fiduciary management mandates.
Assets managed by fiduciary managers jumped to €586bn at the end of the first quarter, up from €445bn at the same time last year. These assets represent 63% of all externally managed assets, but the numbers are skewed by APG, asset manager for pension fund ABP. In the first quarter, APG managed €237.5bn in assets.
"The increase in fiduciary management is caused by its increasing popularity. More and more pension funds, use fiduciary managers to manage their assets. Also, the value of assets increased as the result of good returns on the financial markets," said consultant Koen Hendriks.
APG remains the largest external manager in the Netherlands.
However, BlackRock took hold of the number two slot after its merger with Barclays Global Investors. The firm manages €100bn in Dutch pension assets. PGGM Investments came in third with €90bn in assets.
"The increase is mainly caused by the huge increase in market share of BlackRock," said Hendriks.
This week's edition of Professional Pensions is out now.
Ben Gunnee reflects on 2018 and talks about the Fiduciary Management trends to keep an eye on in 2019
Lloyds Banking Group secured 630,000 new pension customers last year, according to its 2018 annual results.
Guy Opperman has rejected calls to speed up changes to auto-enrolment (AE) despite increasing pressure to boost contribution rates and overall savings pots.