Financial sector creates jobs

SOME 1,000 jobs are expected to be generated in the Irish funds industry by the end of 2011 on the back of the country increasing its status as a major funds location.

Last year saw 430 jobs created in the sector, which employs around 12,000 people. However, Ireland’s growing status as a major European domicile for investment funds is set to significantly increase the requirement for workers this year.

Data from EFAMA — the European representative body for the investment management market — shows that Ireland was the only major fund domicile in Europe to see significant increases in EU-registered fund value during the first half of the year.

The first half of the year saw net inflows of €39 billion for Irish-domiciled funds; the biggest gains being seen in the second quarter where net inflows grew by 1.5% to €26bn. All other major European domiciles — such as Britain, France and Luxembourg — saw declines in values. Ireland now has a 13% share of the European fund market, compared to 11.5% last year.

“This growth highlights the strength and attractiveness of Irish funds as investment opportunities — for investors throughout the world — and demonstrates that Ireland is the location of choice for UCITS [EU registered] funds,” said Gary Palmer, chief executive of the Irish Funds Industry Association.

Ireland remains the fastest-growing of the major cross-border UCITS domiciles, with assets under administration reaching a record high last year of €1.87 trillion.