At the end of May 2023, the total NAV of Croatian mutual funds amounted to EUR 1.99bn, a decrease of 12% YoY, but an increase of 1.1% MoM.
HANFA recently released its most recent monthly report on the changes observed in the Croatian capital markets. This summary provides the latest data concerning Croatian mutual funds. As of the end of May 2023, the net asset value (NAV) of all Croatian mutual funds reached EUR 1.99bn, increasing by 1.1% MoM, but still declining by 12% YoY. It should be noted that this marks the 1st MoM increase in the NAV since January.
Looking at the asset holdings of the funds, on a YoY basis, most of the mutual fund categories experienced a decline. The largest decrease occurred in deposits and cash, which decreased by 51.6%, or EUR 277.1m. Following them, we have bond holdings, which decreased by EUR 50.7m, or 4.1%. Even though less substantial, money market holdings as well as investment funds declined, decreasing by EUR 7.5m (or 17%), and EUR 3.5m (or 1.6%), respectively. On the other hand, shares experienced a YoY increase, growing by EUR 12.7m (or 4.3%).
Turning our attention to the MoM basis, here we can see that the largest increase was recorded by deposits and cash holdings, which grew by EUR 10m (or 4%), closely followed by bond holdings, which increased by EUR 9.9m, or 0.8%. Shares also recorded an increase, albeit a smaller one of EUR 1.2m, or 0.4%. On the flip side, money market holdings decreased by EUR 1.6m or 4.3%.
Total assets of Croatian mutual funds (2015 – May 2023, EURm)
Source: HANFA, InterCapital Research
Regarding net contributions to the funds, May 2023 witnessed an increase of EUR 11.2m. However, upon closer analysis, most fund types experienced more redemptions than contributions, with bond funds recording redemptions of EUR 44.6m, followed by balanced funds at EUR 4.4m. Conversely, equity funds demonstrated a EUR 3.1m increase, while the primary driver of overall growth was the Other funds’ category, which experienced an increase of EUR 26.7m.
In terms of securities and deposits, in total they amounted to EUR 1.9bn in May 2023, representing an MoM increase of EUR 40.7m, (or 2.2%), but a YoY decrease of EUR 53.3m (or 2.7%). Of this, domestic securities and deposits amounted to EUR 824m, an increase of EUR 12.6m (or 1.6%) MoM, but a decrease of EUR 374m (or 31.2%) YoY. On the other hand, foreign securities and deposits amounted to EUR 1.1bn, representing an increase of 2.6% (or EUR 28.1m) MoM, and EUR 320.8m (or 41%) YoY.
Lastly, taking a look at the current asset structure of the mutual funds, In May 2023, bond holdings still held the vast majority of total assets at 59.3%, a decrease of 0.1 p.p. MoM, but an increase of 6 p.p. YoY. Following them we have share holdings, which accounted for 15.3% of the total, a decrease of 0.1 p.p. MoM, but an increase of 2.7 p.p. YoY, and finally, deposits and cash, which accounted for 12.9% of the total, an increase of 0.4 p.p. MoM, but a decrease of 10 p.p. YoY.
Current AUM of Croatian mutual funds (May 2023, % of the total)
Source: HANFA, InterCapital Research
