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ALFI Cross-border Distribution of Investment Funds 2026

26 May 2026 | Press Releases  

Luxembourg, 26 May 2026

Cross-border investment funds reach EUR 8.5 trillion as global demand broadens

  • Cross-border funds continue to expand globally, with assets under management reaching a record EUR 8.5 trillion in 2025 and a growing share sourced from outside Europe.
  • Luxembourg remains the world’s leading cross-border fund domicile, accounting for 42% of global cross-border public market assets (UCITS and ETFs), supported by its regulatory expertise and international distribution infrastructure.
  • Market demand is becoming increasingly diversified, led by robust inflows into Europe (49%), followed by sustained momentum in the Asia-Pacific region (11%), while demand also accelerates across Latin America and the Middle East and Africa.
  • Scale and consolidation continue to reshape the industry, with the top 10 managers now controlling 51% of cross-border assets and average fund size reaching a record EUR 558 million.
  • Investor appetite is shifting toward diversification, emerging markets and thematic strategies linked to resilience and security, while ETFs continue to drive market growth and innovation.
  • In 2025, demand rose across the main asset classes, though equity remains in the lead with more than EUR 260 billion in net flow.

 

The 2026 edition of the ALFI-Broadridge Cross-Border Distribution of Investment Funds Study, provides a comprehensive analysis of the latest trends shaping the international distribution of UCITS and other cross-border fund vehicles.

The study finds that cross-border assets climbed to EUR 8.5 trillion in 2025, with a record 16% of them now sourced from outside Europe. Luxembourg continues to lead the global cross-border landscape, representing 42% of worldwide cross-border assets under management. The report highlights how the industry is becoming increasingly global, concentrated and competitive, driven by scale, ETF growth and evolving investor preferences.

Following Europe, APAC remains the strongest growth region, with Hong Kong, Singapore and Taiwan continuing to drive demand for cross-border products. Meanwhile, markets in the Middle East, Africa and Latin America are showing rising adoption of UCITS structures, underlining continued confidence in European regulatory standards and investor protection frameworks.

The study also points to a clear shift in investor behaviour. While North American equity exposure remains significant, investor flows increasingly favour broader diversification, including European and emerging market equities. At the same time, new thematic areas linked to geopolitical resilience, security and defence are gaining traction, particularly through ETFs. Product innovation continues to accelerate, with new fund launches closely aligned with evolving investor demand.

Britta Borneff, Chief Marketing Officer at ALFI, said: “Cross-border distribution is entering a new phase of maturity and internationalisation. Luxembourg continues to play a central role, supported by its robust regulatory framework, deep international expertise and strong distribution infrastructure. As investor demand evolves and markets become more complex, the ability to deliver trust, innovation and operational efficiency at scale will become increasingly important”.

Nigel Birch, VP Head of Global Data & Analytics at Broadridge, added: “The cross-border industry continues to prove its resilience and global relevance. Investor demand is broadening geographically and becoming more selective, while scale and passive investing continue to reshape the competitive landscape. In this environment, high-quality market intelligence is essential to understand where flows are moving and which long-term trends are emerging”.

ALFI and Broadridge will be presenting the study findings in a webinar on 28 May 2026 at 10:00 CET. Please register here to join.

 

To get a full overview of cross-border market trends, visit the Cross-Border Distribution of Investment Funds Study 2026 website.

 

 

ENDS

 

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Notes to editors:

 

About ALFI

The Association of the Luxembourg Fund Industry (ALFI) represents the face and voice of the Luxembourg asset management and investment fund community across all asset classes. The Association is committed to the development of the Luxembourg fund industry by striving to create new business opportunities, and through the exchange of information and knowledge.

Created in 1988, the Association today represents asset management companies and a wide range of businesses that serve the sector. Luxembourg is the largest fund domicile in Europe and a worldwide leader in cross-border distribution of funds. ALFI’s mission is to lead industry efforts to provide solutions and make Luxembourg the most innovative international investment fund centre.

To keep up with all the news from ALFI and the fund industry in Luxembourg, follow us on LinkedIn, YouTube and Flickr. For more information, please visit: www.alfi.lu.

 

About Broadridge

Broadridge Financial Solutions (NYSE: BR) is a global technology leader with trusted expertise and transformative technology, helping clients and the financial services industry operate, innovate, and grow. We power investing, governance, and communications for our clients – driving operational resiliency, elevating business performance, and transforming investor experiences.

Our technology and operations platforms process and generate over 7 billion communications annually and underpin the daily average trading of over $15 trillion in tokenized and traditional securities globally. A certified Great Place to Work®, Broadridge is part of the S&P 500® Index, employing over 15,000 associates in 21 countries.

For more information, visit www.broadridge.com.

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