*

Q4 net inflows reach 20.9 billion euros, beating

expectations

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Concerns over UniCredit distribution agreement renewal

remain

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Clients seeking diversification away from U.S. dollar-CEO

By Mathieu Rosemain

PARIS, Feb 3 (Reuters) - Europe's largest asset manager,

Amundi, on Tuesday reported higher-than-expected net

inflows in the fourth-quarter, and the CEO said clients were

seeking diversification in Europe and away from ‌the U.S. dollar.

The Paris-based company said investors added 20.9 billion

euros ($24.6 billion) more than they withdrew in the three

months ​to end-December, with strong demand for its passive

products. The net inflows exceeded analyst expectations ‍of 16.1

billion euros, according to a company-compiled consensus.

Amundi's assets under ⁠management (AUM) rose 6.2%

year-on-year to ⁠2.38 trillion euros ($2.80 trillion), slightly

above the 2.365 trillion euros analysts had forecast.

The Credit Agricole majority-owned firm has

established itself ‌as one of the biggest players in ​Europe's

Exchange-Traded Funds (ETFs) market, where it competes with U.S.

giants including BlackRock ( BLK ) and State Street.

But Amundi remains far smaller than the biggest U.S. names and

its ⁠shares have underperformed in recent years. BlackRock ( BLK )

said ‍this month ​its assets under management had hit $14

trillion.

Amundi is now trying to expand into fast-growing private markets

such as private credit and infrastructure, last year announcing

an investment in ‍UK alternative asset manager ICG,

part of a 2025-2028 plan that targets more than 300 billion

euros of cumulative net inflows, with half expected from Asia.

CLIENTS TURN TO GOLD TO DIVERSIFY

In a call with reporters, CEO Valerie Baudson said

geopolitical uncertainty has driven investors to diversify their

portfolios across styles, sectors and regions.

Baudson noted that the significant decline in ​the dollar ‍had

influenced investment decisions regarding American assets, with

clients initially turning to gold for diversification.

"We've begun to see a whole series of investments in Europe

that were ​truly diversification investments or investments

designed to reduce sensitivity to the dollar and U.S. assets,"

she said.

Analysts remain concerned about Amundi will hold on to a

distribution agreement with Italian bank UniCredit,

set to expire in July 2027.

"The situation hasn't changed; (the contract) may or may not

be renewed," Baudson said, adding that Amundi managed 86 billion

euros worth of assets under the UniCredit distribution contract

at end-2025.

Amundi's fourth-quarter adjusted net ​sales climbed 8.2%

year-on-year to 899 million euros, above expectations. Full-year

2025 profit came in at 1.59 billion euros, up 22% on 2024.

The asset manager proposed a dividend of 4.25 euros per

share for 2025 and announced ‍a 500 million euro share buyback.

($1 = 0.8483 euros)