Asset managers that invest in European equities are facing the prospect of reduced inflows, as new research shows many institutions are not planning to push stock holdings in the region back to pre-crisis levels and others are turning to their own in-house advisers.

Connecticut-based consultants Greenwich Associates conducted a survey of institutional investors in Europe and found that only 37% were planning a "significant increase" in their allocations to equities. The majority intended to keep their investment in the asset class at current levels, while 13% planned to reduce allocations significantly.