Press release
Minister McGrath publishes a progress update on review of funds sector in Ireland
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Published on
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The Minister for Finance Michael McGrath today (21 December 2023) published a progress update on the review underway of the funds sector in Ireland - Funds Sector 2030: A Framework for Open, Resilient & Developing Markets: Progress Update.
Since the terms of reference for the review of the funds sector were agreed and published in April, a team has been established within the Department of Finance to undertake the review.
As part of this review, a public consultation took place over the summer months and closed on 15 September 2023. 193 responses to the consultation were received, with over 50 responses being from industry participants and 140 from private individuals. The receipt of 140 submissions from private individuals was also significant as these provided useful insight into the issues impacting retail investors.
The progress update highlights the main trends, risks, challenges and opportunities facing the funds industry in Ireland out to 2030, as identified in the responses. The Review team has reviewed each submission and the proposals raised are now being considered in further detail. Additional engagement with industry participants is well underway and will continue into 2024, seeking additional data and deeper insights on the issues raised. A report will be presented to the Minister by summer 2024.
Commenting on today’s publication Minister McGrath said:
“Ireland is a global leader in the investment funds sector, and the second largest investment fund location within the EU, employing approximately 17,000 people across the country.
"I am very grateful for the level of response to the public consultation and the engagement that industry and the public have had on the Funds Review. The level of response highlights the importance of the Review to the Irish economy.
"I would like to thank everyone who has taken the time to respond and to partake in further engagement with the Review team. A review of this size and scale could not be completed in the timeframe envisaged without the strong positive support that has been received to date.
"I remain actively involved with the Review team and look forward to the team reporting to me by summer 2024.”
Ireland is a global centre of excellence for asset management and funds servicing, with over 30 years of experience. This funds sector is one of the largest employers within the overall International Financial Services (IFS) sector, with 180 companies directly employing > 17,000 people. IFS employment is also now more spread across the country and no longer solely concentrated in Dublin.
As Ireland has become a leading domicile for fund entities, including internationally distributed investment funds and for hedge funds, the roles undertaken here now span investment management; management companies (ManCos) and fund oversight; depositary and administration; and professional advisory services, including audit, tax and legal. In summary, Ireland is: