The mutual fund industry set its passionate sights on the European market in the 1990s, and a rash of acquisitions ensued.
But as the earnings of fund companies have been hammered during this bear market, expansion in the region has slowed. But industry projections would indicate that overlooking Europe would be a mistake. Cerulli Associates expects Europe's $3.5 trillion mutual fund industry to grow at a 14% average rate through the end of 2006 (see MFMN 10/2/02). This will surpass the projected global expansion rate of 10% and dwarf the cumulative aggregate growth rate of the U.S., which is expected to grow by 9%.