Political tensions combined with low yields and weak local equity markets are increasingly benefiting diversification into foreign assets.

1. Inteliace Research
Poland-InvestmentFundsLandscape,May2016
FUNDS WITH FOREIGN FOCUS ARE INCREASINGLY POPULAR AMONG CLIENTS
IN POLAND
1
108
147
38
113
Dec-12 May-16
Total investment funds assets* by category,
Dec.12- May16, in PLN billion
Total=
Non dedicated**,
publicly available
(mostly retail)
funds
Dedicated**
funds
• Assets of dedicated, non-public funds are growing rapidly thanks to tax advantages*** for wealthy individuals and corporates.
• Retail clients gradually discover advantages of international diversification and foreign asset classes.
• Growing demand for foreign assets can be explained with falling local interest rates and underperforming local equity markets, hit by various factors, including
the ongoing dismantling of second pillar pension and unfavourable political developments.
* Funds domiciled in Poland only. Cross-border sales of foreign funds in Poland not included.
** Dedicated to a specific investor or group of investors.
*** Taxation of gains within closed-end funds could be deferred until actual profit distribution.
Source: IZFiA, Inteliace Research
114.2
16.9
4.3
2.5
1.2
0.6
7.3
Domestic
Global
Europe
North America
Euro area
Asia Pacific
Other
90.9
4.7
2.5
1.9
0.9
0.2
6.7
26
256
77
32
35
147
10
Dec-2012May-2016 Change in %Type
146
260
Change in %
+78
+197
+37
Total assets:
~EUR 60 billion
Non-dedicated investment funds by primary focus, in PLN billion