European asset managers reassess outlook after Q2 reversal

European asset managers entered 2026 with renewed strength, but Q2 brought a sharp reversal. Geopolitical uncertainty and rising stagflation fears drove widespread outflows in March, erasing early gains across both equity and fixed income funds. Active strategies were hit hardest, marking their weakest month for flows in more than two years. Private-market managers also continue to face a challenging environment. Fundraising remains depressed after hitting decade-low levels in 2025, with fewer mega-fund closings and muted exit activity weighing on near-term performance. While valuation gaps...