Traditional stock-picking equity and bond managers will account for less than a third of the global asset management industry within five years, according to Boston Consulting Group.

BCG, the world’s second-largest management consultancy, puts out a major report on the asset management industry each year. Its latest edition, published on July 19, drew a portrait of a 2017 as a vintage year for the sector, with record inflows and profits as bullish stock markets drove global assets under management up 12% to $79tn.