Facts, Facts and More Facts: 2011 Segregated Fund Wrap-up (Updated Data)– Blog
Segregated funds concluded 2011 with $86.4 billion in assets, 2% lower than at the outset of the year. 2011 got off to a brisk start as the segment’s asset base hit a historical high of $90.6 billion in March. But on an annual basis, the estimated annual market effect of -4% was the chief culprit behind the asset decline. Flows continued at a steady pace throughout the year, with positive inflows in all but one month. However, both key flow metrics – annual net flows and gross sales – were down on a year-over-year basis. At $2.2 billion in 2011, net flows fell 6.2% below the 2010’s result. Gross sales reached $12.2 billion in 2011, decreasing by 6.3% over the previous year. Guaranteed Withdrawal Benefit (GWB) funds remained an important, albeit a slowing, contributor to the growth of the business. GWB assets increased by 13.3% during the year to finish at $25.8 billion or 30% of all segregated funds. Net flows into the product category totaled $4.2 billion, 20% lower than the previous year’s total. For more information, please see the upcoming issue of the Insurance Advisory Service http://investoreconomics.com/issue/insurance-advisory-service. Posted by Karol Kalejta firstname.lastname@example.org.