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Singapore fund management assets grew 11.8% in 2013, says MAS

Increase in the assets managed by hedge funds and private equity investors contributed to the growth, according to the central bank.

SINGAPORE: Total assets managed by Singapore-based fund managers grew by 11.8 per cent to S$1.82 trillion last year, helped by large increases in assets managed by hedge funds and private equity investors, the Monetary Authority of Singapore (MAS) said on Friday (July 25).

"Whilst traditional asset managers continue to contribute substantively to annual growth, assets managed by hedge fund and private equity managers grew 20.9 per cent and 33.6 per cent year-on-year, respectively," the central bank said in its 2013 Singapore Asset Management Industry Survey.

MAS said overall hedge fund assets under management (AUM) reached S$88.8 billion as at end-2013, reflecting increased interest from global investors in Asia-focused strategies. In private equity, there was continued interest from global players to set up in Singapore as they sought new investment opportunities in South-East Asia.

Supported by increased levels of investments and valuation gains, overall private equity fund AUM reached S$74.7 billion as at end-2013, MAS said. Singapore is one of the main Asian centres for fund management. In the last three years, the city-state's fund management industry recorded average AUM growth of 10.7 per cent per annum.

Rival Hong Kong said earlier this month that its combined fund management business grew 27.2 per cent to a record high of HK$16 trillion (S$2.56 trillion) as at end of 2013.

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