FEDERATION OF EURO-ASIAN STOCK EXCHANGES
Turkish Asset Management market reached
TL 40.1 billion, realizing 30.6% growth in 2009.
Garanti Asset Management’s AUM size grew
by 34.0% to TL 6.3 billion, increasing market
share to 15.8% from 15.4% in the same
period.
While total size of mutual funds nominally
increased by 27.0% and rise to TL 30.1 billion,
Garanti reached TL 4.5 billion by 29.8%
increase in 2009.
Individual pension funds have notched up
strong growth in 2009. Total volume of funds
collected in the Individual Pension System
(IPS) increased by 42% year-on-year to
TL 9.1 billion (from TRY 6.4 billion in 2008).
In the same period, the number of Individual
Pension System investors rose from 1,745,354
to 1,991,000.
Garanti Asset Management maintained its
growth in pension funds and reached TL 1.30
billion size with 14.3% market share in 2009.
As the new legislation concerning Pension
System took effect, the expectation of a
transfer of savings kept at foundations and
funds to the individual pension system and
arrangements regarding vesting conditions
will stimulate the corporate market, while
contributing to the minimization of the crisis-
related negative impacts. This is expected to
stimulate the growth trend.
Garanti Asset Management’s business volume
was realized as TRY 456 million in 2009,
commanding a market share of 14,2% in
Discretionary Asset Management.
ANNUAL REPORT JUNE 2010
The Company’s proactive marketing activities
and consistently high levels of customer
satisfaction kept Garanti Asset Management
effective in the management of individual and
corporate private portfolios. By the end of
2009, a total of 36 individual customers and
18 corporate customers were using Garanti
Asset Management’s private asset
management services.
We would define the forthcoming period, with
the economic recovery set to get underway
after 2010, as a period of improvement. In this
period, investors swiftly heading to collective
investment instruments along with the falls we
expect in interest rates in particular, in addition
to the sector’s strengthening infrastructure, to
set the stage for strong growth for our sector
and Garanti Asset Management.
In the upcoming period, Garanti Asset
Management will demonstrate maximum effort
to take its pioneering and indispensable
position in the sector forward, thanks to its
perfect structuring, competent team and
vision. We have full confidence that our
investors’ custom will continue to evolve into
long-term relationships.
Projections indicate that the asset
management industry will grow rapidly in the
upcoming period. As the array of financial
products on offer increases, short-term
instruments will no longer be attractive and
significant changes will take place in investors’
preferences and behavior as the Turkish
capital markets develop.
In line with its target of being among the first 3
participants of the sector on the basis of
• performance
• volume
• profitability
GARANTI ASSET MANAGEMENT TOTAL AUM
(US$ millions)
Garanti Asset Management is committed to
being the service provider to benefit most from
the prospective economic recovery and period
of growth from 2010, based on its corporate
structure which fully complies with modern
asset management practices, as well as its
superior abilities. Garanti Asset Management,
which works to the competition benchmark
built within capital markets in order to produce
ever growing value to all of its stakeholders,
will continue to manage change and ensure a
sustainable performance.
Although the growth rate of Turkish investment
funds market slowed down slightly by the
recent financial crisis, it hasn’t been affected
as dramatically as developed countries. Owing
to the relatively high yields in treasury bills and
high interest rates in Turkish money market,
Turkish investors preferred time deposits and
fixed income products over more riskier asset
classes such as equities and structured
products. Alternative investment instruments
showed a slower progress due to this
persistent high interest rate environment.
However, together with the real interest rates
coming down, crowding-out effect of the
Turkish treasury has been diminishing over the
markets and investors’ risk perception has
begun to change in favor of more riskier asset
classes. Investment fund industry and new
investment instruments are expected to get
more attention in the forthcoming period.
Moreover, with the growth in the market and
diversification in the investment instruments in
Turkey, it’s also been expected that Turkish
asset management companies will start to
expand abroad. The recent position of the
European fund market is considered as an
opportunity for the Turkish companies.
FACTS AND FIGURES
Date of Establishment
Ownership Structure
Total Assets Under Management (AUM)
Mutual Funds
Pension Funds
Discretionary Asset Management
4,500
4,000
3,500
3,000
June 5th, 1997
Garanti Bank
US$4.2 billion
US$3.0 billion
US$900 million
US$304 million
100%
#3
#3
#4
#4
2,500
2,000
1,500
1,000
500
0
2000
2003
2006
2007
2008
2009
CONTACT INFORMATION
Contact Name Gur Cagdas Tel. +90 212 381 31 00
E-mail [email protected]
Website www.garantiassetmanagement.com
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