22 June 2021
CMS Funds Market Study 2021
Periodically, CMS takes soundings on the state of the market from our funds-related clients. Given the unprecedented nature of the last 12 months we thought this was an opportune time to look back over the last few years. This study analyses the key market trends in fund documentation of over 300 funds established in Europe, Asia, USA and offshore jurisdictions advised on by CMS offices throughout 2017 to 2020. We have also conducted client interviews, which are highlighted in this report, and conducted a selective survey of our international client base.We trust this CMS Funds Market Study will be a useful guide for both managers and investors this year. The size of our deal sample and the range of countries involved means that the study should be a uniquely valuable and rich resource for managers and investors. Our research indicates that funds industry players are clear on how to move forward and that, while strategies may have shifted, there are reasons for optimism and bullishness, unlike the gloom that descended after the global financial crisis in 2008.Looking forward we see an active funds market, with Luxembourg being the jurisdiction of choice for European funds. ESG is now a key focus for investors. This market impetus and regulatory drivers are moving sustainable investment from a niche focus into the mainstream for investors and managers alike. We also see managers increasingly looking at the benefits and impact of AI and technology with the tokenisation of assets and the use of blockchain. We see this pace of change accelerating.If you have any feedback or questions, we would love to hear from you.