OREANDA-NEWS. Fitch Ratings believes that the European asset management industry is ripe for faster change and possibly disruption, as pressure from markets, investors, regulators and competitors intensifies.

In a special report published today Fitch says it expects the industry to grow at slower pace than the 10% observed in 2015, assuming lower market returns and decelerating inflows.

Fitch expects management of asset management companies to take bolder restructuring or strategic decisions to increase the flexibility of their operating model, keep pace with rapid technological shifts and ultimately protect profitability.

Asset managers are enhancing their capabilities in sustainable business growth areas (such as outcome-oriented, multi-asset solutions and alternatives) as well as in data management and technology. Companies that have positioned themselves early in those strategic areas will benefit from a key competitive advantage, in Fitch's opinion.