The investment funds sector in Cyprus recorded robust growth in the first quarter of 2025, with total Assets Under Management (AUM) reaching an impressive billion. This data, released in the Q1 2025 Quarterly Statistical Bulletin by the Cyprus Securities and Exchange Commission (CySEC), marks a significant 18% increase year-on-year and a rise from the previous quarter.
The Cyprus Investment Funds Association (CIFA) welcomed the report, highlighting the figures as a clear indicator of the sector’s “continued and sustainable growth.”
A key factor contributing to this expansion is the notable increase in domestic investments, which surged to billion. This represents of the total AUM, underscoring the sector’s vital role in the national economy. The total Net Asset Value (NAV) of the funds stood at billion by the end of March 2025. The report also noted that out of 322 licensed Management Companies and Undertakings for Collective Investment (UCIs), 254 were actively operating.
CIFA President Maria Panayiotou commented on the positive momentum, stating, “We do not expect an increase in Assets Under Management or in the number of Investment Funds every single quarter. That’s not how a healthy sector operates. However, every increase is a meaningful contribution to our shared efforts of consistently strengthening Cyprus’ collective investments ecosystem.”
Looking to the future, Panayiotou expressed optimism that recent legislative developments, such as the newly enacted Law on Fund Administration Companies, will provide further support for this upward trend, with tangible results expected in the coming quarters.
In its concluding remarks, CIFA emphasized the importance of stability and predictability in today’s volatile international environment. The association issued a call to safeguard the nation’s competitive edge, cautioning that “any policy or regulatory changes must be carefully evaluated to avoid weakening Cyprus’ competitiveness vis-à-vis other fund jurisdictions.”
Source: stockwatch.com.cy