We continue to see steady growth in the worldwide investment fund industry. Mutual fund assets were about US$41 trillion by 3Q 2016, excluding regulated funds-of-funds assets, reflecting growth of approximately US$3.8 trillion, or more than 10 per cent, from 3Q 2015. Europe and the US account for approximately 87 per cent of the world’s mutual fund assets. Worldwide growth has been achieved despite sluggish economic performance, deflationary threats and geopolitical tensions and uncertainties. There are four key factors for this overall positive outcome: the quest for investment returns within a very low interest rate environment; the enhanced investor protection now offered by investment funds; the variety of investment strategies and risk–return profiles available; and central banks’ actions to prevent deflation and foster economic growth.