Amundi reported on Tuesday a higher-than-expected net inflow for the first quarter of 2025, stating it remains unconcerned about the outlook for the rest of the year, despite currency effects weighing on the growth of its assets under management.
The leading European asset manager, controlled by Crédit Agricole, posted a net inflow of €31 billion in the first quarter--its highest since 2021--surpassing analysts' expectations of €26.7 billion, according to a consensus compiled by the group.
Medium- to long-term asset inflows excluding joint ventures reached a record €37 billion, buoyed by the acquisition of an ESG equity index mandate with The People's Pension in the UK, worth €21 billion. The remainder of the inflows stemmed from passive management, particularly ETFs, which contributed €10 billion, and active management, which added €6 billion.
The group's total assets under management stood at €2.247 trillion at the end of March 2025, up 6% year-on-year but just 0.3% higher than at the end of 2024, due to a negative currency effect of €26 billion from the depreciation of the US dollar and Indian rupee against the euro.
Asked about the current environment during a press conference, CEO Valérie Baudson emphasized that the present volatility is not a concern for Amundi's assets, affirming the company remains "a natural consolidator in the market."
"We are seeing the same momentum in terms of inflows. In France, for example, we are currently witnessing particularly strong inflows into life insurance, linked to interest rate levels. So there is no cause for concern," she stated.
Amundi noted in its statement that at the lowest point of European markets on April 8, its assets excluding joint ventures were down 3% compared to the end of Q1 2025, and down 2% as of April 25.
DEFENSE FUNDS
Pre-tax profit rose 11% year-on-year to €458 million, while adjusted group net income reached €303 million, compared to €318 million in Q1 2024, with both indicators in line with analysts' expectations.
Amundi explained that the exceptional tax contribution in France, enacted as part of the 2025 finance bill, cost €46 million in the first quarter and is expected to total €72 million for the full year.
"To finance future investments and accelerate the redeployment of our resources toward growth pillars, we are targeting cost optimization of €30 to €40 million, to be achieved starting in 2026," Amundi stated in a press release.
"Before the summer, we will launch additional actively and passively managed funds in ETF format to allow our clients to invest in European defense," said Valérie Baudson, noting that Amundi currently manages around €10 billion in defense-related assets through a thematic fund launched two years ago.
(Written by Bertrand De Meyer, with Mathieu Rosemain; edited by Augustin Turpin and Kate Entringer)
