The Evolution Of Alternative Assets In Germany
" The German alternatives industry has evolved significantly in recent years. Assets under management (AUM) increased from €59bn at the end of 2017 to €81bn as of June 2020 - a rise of nearly 40%. To put this growth into context, over the same period, the DAX index fell by 4.7% on a total-return basis, according to FactSet data.
In 2020, Germany ranked third in Europe by the number of private capital funds closed (48) and fourth by aggregate capital raised (€12bn). Germany-based private equity & venture capital funds raised a combined €6.8bn in 2020, up 94% on the €3.5bn raised in 2019. "
There are 472 institutional investors based in Germany. The largest by number are family offices (27%), followed by insurance companies (20%) and private sector pension funds (12%). In other parts of Europe, private-sector pension funds (21%) are leading by number, followed by family offices (18%) and asset managers (10%)
In the last three years, German institutional investors allocated approximately 10 times more assets to private equity and venture than hedge fund managers.