The asset management industry is experiencing volatility but good investment management remains critical, according to partner and leader of investment management for KPMG in Ireland, Jorge Fernandez Revilla.
“Inflation has been more persistent than had been anticipated and the expected further monetary policy tightening from the ECB could cause issues for homeowners, who will see mortgage and loan repayments increase,” he said. He said that KPMG’s clients are mixed in their appetites for risk and look at a diverse range of investment opportunities. “Some of our clients would look at opportunistic investments in the downturn. Others look at macro hedge funds where they can make more money, or at different asset classes.”
Revilla said that Ireland is very well positioned to weather a downturn. “We invest in talent, in subjects like maths, and in the younger generations. We sit quite favourably in the global chain of investment management. I am optimistic, but we are a small country. This makes it even more vital that we continue to invest in technology and in talent.”
Germany has approved new legislation allowing more than 4,000 institutional investment funds to invest billions in crypto assets. A law now allows the so-called Spezialfonds with fixed investment rules to access digital assets. The firms are able to allocate as much as 20 per cent of their portfolios in crypto assets.
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