Institutions for collective investment weigh more and more heavily in the Moroccan economy. In 2021, their net assets represented no less than 53.7% of GDP. Their outstanding amount reached 627 billion dirhams, up 16.2% year on year. These data are provided by the first edition of the AMMC report on the capital market.
Undertakings for collective investment (OPC) continued their rise in power in the national economy. Their net assets weighed 53.7% of GDP at the end of 2021, against 49.6% a year earlier. This is what emerges from the first report of the Moroccan Capital Market Authority (AMMC) on the capital market. According to the document, the outstanding amount of UCIs exceeded 627 billion dirhams, up 16.2% over one year. UCITS continue to represent the bulk of this outstanding, with net assets of nearly 593 billion, up 13.3%. The other UCIs show, however, a faster pace of development. These include OPCIs (real estate) which have experienced a meteoric rise (+254.4% to 21.6 billion). Collective investment funds in securitization (FPCT) gained 17.8% to 11.2 billion and OPCCs (Organisms for collective investment in capital) increased by 32.6% to 1.4 billion.
By type of fund, the outstanding amount of UCITS shares, driven by a very positive trend in the stock market in 2021, improved over the year by 27.1% to peak at 47 billion. Similarly, the outstandings of diversified funds rose to 105%, supported by positive net flows of more than 29 billion. In addition, bond fund outstandings ended the year up 5.4%, driven by positive net flows of more than 10.3 billion. Money market funds saw their assets amount to 81 billion dirhams, up 12.1%, benefiting from net inflows of nearly 8 billion.
UCITS: assets under management invested mainly in unlisted securities
At the end of the financial year sold, the assets under management of UCITS were mainly invested in unlisted securities, which alone could represent 77.18% of the total assets invested, followed by other assets and quoted values which constitute respectively 13.03 and 9.79%. The AMMC also indicates that the outstanding amount of unlisted securities increased by 11.75%, from 446 billion dirhams in 2020 to 499 billion dirhams the following year. As for the stock of listed securities, it appreciated by 45.31% to 63 billion dirhams and the stock of other assets increased by 38.12% to 84 billion.
Securities lending: UCITS, main lenders
On the private debt side, the AMMC report mentions capital raised amounting to 60 billion dirhams in 2021, against 76 billion in 2020. With regard to equity securities, the raising reached 3 billion of dirhams, of which 600 million are related to the IPO of the General Construction Works Company of Casablanca (TGCC). Debt raising concerned the financial sector up to 72% and the investment company sector up to 9%. In this context, outstanding bonds stood at 159 billion dirhams at the end of 2021, up 5.1% year on year, and outstanding negotiable debt securities amounted to 84 billion. It remained almost stable compared to the end of 2020. As regards the volume of securities lending transactions, the latter reached 185 billion dirhams, down nearly 27% compared to 2020. At the end of December 2021 , outstanding securities lending transactions amounted to 21 billion dirhams. Non-financial corporations are the main borrowers (34.3%), followed by banks (32.9%). UCITS are the main lenders with 81.1% of the volume traded. With regard to investors, the number of securities accounts amounted to 148,079 accounts, mainly held by resident individuals (85.2%). The number of clients of brokerage firms active on the stock market fell by 2.8% to 8,261 clients at the end of 2021, of which 6,228 are Moroccan individuals.
Market capitalization: 30% among foreigners and MREs
Activity on the central compartment of the Casablanca Stock Exchange confirms the market structure carried by domestic legal persons. UCITS and Moroccan legal entities account for 74% of the volume traded, in virtual stagnation compared to 2020 (73%). The share of market capitalization held by foreigners and MREs is around 30%, mainly made up of strategic holdings (93%). With regard to UCITS units and shares, the total net assets under management are mainly held by financial companies, as in previous years. The latter in fact hold 77% of total assets, mainly invested in bond UCITS.
Maroclear: 1,534 shares retained
In terms of custody of securities, the overall outstanding amount of assets held by the central depository Maroclear stood at 2,192 billion dirhams at the end of 2021 for a total of 1,534 securities held. Operational activity generates a daily average of settled flows of 58 billion dirhams and 1,362 on securities made at the end of 2021, including 942 interest payments, 315 repayments of debt securities and 104 dividend payments.