Amundi SA said institutional clients at Europe’s largest asset manager are increasingly looking to protect themselves after a series of events this year boosted volatility.
“We are having a lot of requests from our institutional clients to buy puts to protect portfolios,” Jean-Jacques Barberis, head of the institutional and corporate division and ESG at Amundi, said in an interview.
Concerns raised include the impact of a potential spike in oil prices after the US bombed Iran, he said, adding that overall, the events haven’t led to major changes in how institutional clients allocate money in the region.
Asset managers are having to contend with a series of events that have rattled markets this year, from the announcement of US tariffs on the rest of the world to the latest escalation in the Middle East. Amundi said previously that asset owners across Europe have been reviewing their US mandates in the wake of the tariffs, fueling an inflow of money into Europe.
“Reallocation of US financial flows to Europe continues,” Barberis said, with Amundi getting questions from European and Asian clients about the weight of US assets in their portfolio. “The effects of the new Trump administration is reinforcing this trend day after day.”
Chief executive officer Valerie Baudson said earlier this month she was confident about inflows this year, after the French firm attracted €31.1 billion ($46.4 billion) in the first quarter. Amundi is advising clients to complement their diversification strategy with European bonds.
