Research from PwC has revealed that 97 per cent of asset management CEOs are confident that their revenues will increase over the next three years.

PwC’s 17th annual CEO Survey, which includes responses from 123 asset management CEOs in 37 countries, also found that the number of asset management CEOs who believe that the global economy will improve over the next 12 months has almost tripled since last year – 52 per cent now compared with 19 per cent last year.

This buoyant outlook is reflected in the fact that 58 per cent of asset management CEOs plan to take on more staff over the coming year.

But continued uncertainty around regulatory changes and the response of governments to fiscal deficits and debt burdens pose the greatest challenges to their prospects with eight in 10 asset management CEOs seeing their oper-ating costs rising and half believing that their ability to innovate is hampered as a result of regulation.

Outside the fast-developing BRIC economies, asset management CEOs believe the big developed economies of the US, Germany and the UK will be most important for their future growth in the next three to five years.

They’re also beginning to look to Japan, where reflationary economic policies appear to be stoking recovery. In developing countries, asset management CEOs anticipate that China will be most important for their growth. They’re also optimistic about Indonesia, which has a large population and fast-growing middle class.

Joseph Camilleri, asset management leader at PwC Malta, said: “As they plan for the future, asset management CEOs are firmly in expansion mode. They’re investing for both organic and inorganic growth – pursuing the former through hiring more people and increasing their technology spend, and the latter through seeking out mergers, acquisitions and joint ventures. Clearly, asset management CEOs are planning for a prolonged upswing.”

www.pwc.com/ceosurvey