Cyprus is one of the fastest growing centres of investment fund activity in Europe, thanks to a focused and continuous development of the legal and regulatory framework, as well as a strong financial services sector, which make Cyprus a leading jurisdiction in the investment and finance industry.
According to the Quarterly Statistical Report published by the Cyprus Securities and Exchange Commission (CSE) on Wednesday 19 February, the total assets under management in the fourth quarter of 2024 increased significantly by 8.4% million euros to 573.8 million euros compared to the third quarter of 2024.
In turn, the number of collective investment management companies and collective investment organisations increased from 334 in September 2024 to 338 in December 2024. Their total assets increased to 7.369 billion euro in the fourth quarter from 6.795 billion euro in the third quarter, mainly due to an increase of around 497.7 million euro in unlisted equity investments.
According to the NBS, at the end of December 2024, collective investment management companies and collective investment organisations held €1.03 billion in listed shares and other assets totalling €1.47 billion. The value of securities held by them in the fourth quarter of 2024 totalled €695.3 million, up from €596.5 million in the previous quarter.
Finally, deposits and loans to collective investment management companies and collective investment organisations rose to €834.7 million, from €777.9 million in September 2024.
As a reminder, investment funds are one of the key priorities for attracting foreign direct investment to Cyprus and creating conditions for foreign companies to establish their operations here. The development of the investment fund sector in Cyprus leads to an increase in tax revenues, creates specialised jobs and attracts wealthy foreign professionals to the country.