Investment Funds: Growing interest to invest in the Cyprus economy
July 16, 2021
Invest Cyprus satisfied over increase in the number of investment funds and assets under management, despite the pandemic
Invest Cyprus expresses its satisfaction at the strong momentum of Cyprus’ investment funds industry, even in the particularly adverse conditions brought on by the pandemic. According to the latest available data published by the Cyprus Securities and Exchange Commission, the number of investment funds increased to 283 in the fourth quarter of 2020, while there was also an increase in the assets under their management, which totaled €8.58b.
In statements, the member of the Board of Directors of Invest Cyprus, Spyros Vassiliou, emphasized the fact that the investment funds sector continued to follow an upward trend, at a time when attracting foreign investment internationally is at an all-time low due to the pandemic. According to UNCTAD, foreign investments dropped by 42% worldwide and over 70% in Europe. Mr Vassiliou pointed out that after the pandemic hit, Invest Cyprus launched a digital campaign including digital events and promotional activities as part of its efforts to promote Cyprus as an attractive investment destination and competitive business hub. “We have launched a global communications strategy, promoting positive news in the international media while we have organized more than 100 online conferences and targeted digital briefings in important international markets, such as the USA, UK, Israel, India, Singapore, Saudi Arabia, Kazakhstan, Lebanon, Russia, Belarus, Hong Kong and the broader South-east Asian region.”
According to Mr Vassiliou, the growing interest in registering investment funds in Cyprus even during the pandemic proves our country’s potential to become an alternative European destination for investment funds and fund managers. Invest Cyprus, in collaboration with the Cyprus Investment Funds Agency (CIFA) focuses its efforts in showcasing Cyprus as an ideal funds jurisdiction . The increase in the number choosing to be registered in Cyprus, opens up multiple benefits for the professional services sector, while it also boosts the country’s image as a financial hub abroad.
Furthermore, beyond the registration and management, it is particularly encouraging that over 70% of the funds registered with the Securities and Exchange Commission invested in the Cypriot market, totaling €2.15b.
Invest Cyprus CEO and CIFA Vice President George Campanellas expressed his satisfaction on these developments. “We are very pleased because apart from ICT Headquartering, we are witnessing the success of the other two main pillars of our strategic plan – promoting our country as a European jurisdiction for Investment Funds and Fund Managers, as well as attracting FDI in strategic sectors of the economy”.