Fof market has potential to treble in next five years

Far from experiencing over-capacity, the fund of funds market has the potential to treble in size ov...

Far from experiencing over-capacity, the fund of funds market has the potential to treble in size over the next five years, according to Gartmore's Bambos Hambi. Research by the group revealed despite the increased spotlight on the asset class in recent months, fund of funds still only account for around 3% of the domestic funds universe. "In five years, fund of funds and manager of managers could take 10% of the marketplace and that could be a conservative assumption," Hambi said. While on this basis the market can be viewed as not being saturated, distribution will be key to which prov...