European Fund and Asset Management Association Fact Book shows record EUR 814 bn UCITS net sales and sustained ETF growth

The European Fund and Asset Management Association has published its 2026 Fact Book on the European investment fund industry, with a focus on developments in 2025. The report points to a record year for UCITS, with net sales reaching EUR 814 bn, UCITS ETFs drawing a record EUR 347 bn in net sales, and European household fund purchases hitting an all-time high. It also highlights continued growth in passive and cross-border UCITS, alongside EFAMA’s broader conclusion that investment funds have become the main route through which households gain direct exposure to capital markets. The detailed findings show a market that is becoming larger, cheaper and more concentrated in scalable products. Average costs over the past five years fell by 18 basis points for equity UCITS and 5 basis points for bond UCITS, while the share of passive UCITS rose from 13% in 2015 to 30% by the end of 2025. Smaller UCITS continued to lose share, with funds below EUR 100 million accounting for less than 3% of total UCITS net assets in 2025, while larger funds benefited from demand for ETFs and money market funds. Within sustainable fund categories, SFDR Article 9 fund flows stayed negative in 2025, while Article 6 and Article 8 inflows strengthened. The report also notes a reversal in portfolio allocation trends, with the share of US stocks in equity UCITS falling in 2025 as European equities recovered and the US dollar weakened against the euro. Alongside the market data, the Fact Book includes information boxes on regulatory topics EFAMA is working on, including the MISP, retail investment, anti-money laundering, pensions and the Digital Omnibus.