French asset manager Lyxor, the fully-owned Asset Manager of Société Générale Group, is transferring 19 exchange traded funds with assets of €4.9bn to Luxembourg.
Lyxor, Europe’s third-largest ETF provider, is moving €2bn of ETF assets this month, Ignites Europe reports. The transfer follows a first move of €2.9bn last October.
The asset manager explains that the transfer is based on client demand.
“The rationale has been very much client demand. Many of our investors across Europe tell us Luxembourg is a simple domicile for them to deal with,” says Adam Laird, head of ETF strategy for northern Europe at Lyxor.
The French asset manager already redomiciled €1.3bn of ETF assets from France to Luxembourg two years ago.
International asset managers such as MFS, T Rowe Price, Aberdeen standard, Columbia Threadneedle and M&G and many other asset managers are in the process of consolidating their presence in Luxembourg, which is the largest investment fund centre in Europe and the second largest in the world after the US.