In the first nine months of this year, the funds grew by 5% to hit $84.1trn, some 13% above the pre-crisis peak.
The US remains by far the biggest source of funds, accounting for nearly a half of all conventional assets under management, according to the report.
The UK is the second largest centre in the world, and by far the largest in Europe, with 8% of the total, closely followed by Japan.
Raquel Hughes, strategy director at TheCityUK, said: “On the whole, the global fund management industry has recovered quickly from the sharp fall in assets under management that occurred at the outset of the credit crisis. Most of this recovery has come from market performance rather than new inflows.”
Pension assets account for nearly 40% of total funds, with the remainder split almost equally between mutual and insurance funds. Together with alternative assets and funds of wealthy individuals, total assets of the global fund management industry are around $120trn, the report stated.
Hughes added: “We have found that the longer term effects of the economic slowdown include more cautious investment strategies and more diversification across asset classes and geographical regions. There is also a worldwide trend for fund managers to operate independently of banks and insurance companies.”
