Total managed funds amounted to EURO 105.1 bln at the end of 2001, according to preliminary figures released by Robeco. This represents an increase of 14.9%. Responsible for this growth were acquisitions, amongst which Harbor Capital Investments in Toledo (US).
However, the year 2001 Robeco performed disappointedly. Share investments declined in value by EURO 5.5 bln due to the drop of the stock markets for the second year running. Fixed interest funds however increased by EURO 2.8 bln. New money accounted for EURO 4.6 bln.
It expected that global economic growth rate would increase. Inflation will be tempered. This will lead to favorable results with fixed interest funds. The outlook for investments in shares is also good. Initially shares of companies vulnerable to economic conditions (raw materials, certain cyclic consumer products and technology) will show a good performance.
European long interest rates are still increasing, despite economic slow down and declining inflation rates. Inflation rate is expected not to top 2%, making space for a further decline of long term fixed interest rates to around 4%. During the second half of this decade however a structural increase of long-term interest is expected due to a returning (wage-cost) inflation.