CEO's review

In the fourth quarter of 2025, capital markets developed positively, as in the beginning of the year, with equities rising across the board in the US, Europe, and elsewhere in the world. During the year, global equity markets returned 21 percent as measured by MSCI World and 18 percent as measured by the S&P 500 index, which tracks US stock markets. In Europe, stock prices rose by 6.6 percent during the quarter and by 20.6 percent for the whole year as measured by the STOXX 600 index. Emerging markets also saw a brisk rise in share prices. However, the significant weakening of the dollar eroded the returns on dollar-denominated investments in euros.

Investor optimism was supported by solid corporate earnings growth, falling interest rate expectations in the US, and widespread enthusiasm for artificial intelligence (AI) technology and its potential to increase corporate productivity. The returns on fixed-income investments, particularly on higher-risk high yield bonds, were also positive. The prices of gold and other precious metals rose to new highs. Over the past year, the rise in the price of gold has been accelerated by the sharp decline in the exchange rate of the US dollar, US tariff policy, increased demand for the precious metal by central banks, falling interest rate and inflation expectations, and, especially recently, increased concerns about the independence of the US Federal Reserve. The changed geopolitical policy of the US has also increased the popularity of gold as a safe haven for investors.

The situation in the real estate market in Finland remained difficult, and the majority of Finnish open-ended real estate funds were still forced to postpone the execution of their redemptions. This is also what we did in the Evli Rental Yield II fund to ensure equal treatment of all the fund’s unit holders.

The US economy grew in the fourth quarter, as it did at the beginning of the year, even though the labour market weakened and inflation was still above the Federal Reserve's target level. Investments in technology, in particular data center and other infrastructure projects supporting the use of AI, boosted growth.

Euro area growth was slightly positive in the quarter, as global trade concerns gradually eased and private consumption remained stable. The outlook for the euro area is supported by a strengthening labour market, a low inflation and interest rate environment, and investment in infrastructure and defense capabilities. However, geopolitical threats, especially the war in Ukraine, continued to weigh on consumer and business confidence and willingness to invest.

”In the fourth quarter, Evli Group's net revenue increased by 26 percent.”

In the fourth quarter, Evli Group's net revenue increased by 26 percent from the previous year and was EUR 38.1. million (EUR 30.1 million). The best development was seen in fee income from traditional and private equity funds, performance-based fees and brokerage revenues, which increased from the previous year. Advisory fees decreased slightly from the previous year, while returns from the Group’s own balance sheet items were higher than in the previous year.

The Group's operating profit for the fourth quarter increased by 49 percent to EUR 15.7 million (EUR 10.5 million). The growth in operating profit was driven by higher commission income from funds and performance-based fees, which were higher than in the comparison period. The increase in operating profit was weighed down by the loss of EUR 1.6 million recorded by an associated company, which was higher than in the comparison period. Evli's return on equity from the beginning of the year was 28.4 percent (34.4%) and the ratio of recurring revenue to operational costs was 128 percent (132%). The Group's solvency and liquidity were at an excellent level.

The key areas of Evli's strategy, international sales and alternative investment products, developed positively during the quarter. Net subscriptions from international clients were approximately EUR 251 million, and international clients accounted for 25 percent (21%) of Evli's total fund capital, including alternative investment products. Net subscriptions and investment commitments for alternative investment products totaled approximately EUR 129 million (approximately EUR 115 million) during the final quarter of the year. Since the beginning of the year, more investment commitments were collected than during the previous year, totaling EUR 331 million. At the end of the quarter, the total assets of the alternative investment products amounted to EUR 3.2 billion.

”Client assets under management increased by 13 percent as a result of positive market development and net subscriptions.”

The Wealth Management and Investor Clients segment’s net revenue increased by 28 percent during the quarter to EUR 34.0 million (EUR 26.6 million). Client assets under management increased by 13 percent to EUR 21.4 billion (EUR 18.9 billion) as a result of positive market development and net subscriptions, which is a new record for Evli.

Evli Fund Management Company's mutual fund capital, including alternative investment products, also rose to a new record of EUR 16.2 billion (EUR 13.4 billion). The net subscriptions of traditional investment funds were approximately EUR 571 million during the quarter. The largest net subscriptions were made to the Evli Short Corporate Bond and Evli Atlas USA Enhanced Index funds. From the beginning of the year, the best performers in terms of return were the Evli Silver and Gold fund (158%) and the Evli Hannibal fund (42%).

The Advisory and Corporate Clients segment's net revenue increased by approximately three percent during the final quarter of the year to EUR 2.1 million (EUR 2.0 million). From the beginning of the year, advisory fees decreased from the previous year’s level, amounting to EUR 6.8 million (EUR 9.9 million). The revenue may fluctuate significantly from one quarter to another and from year to year. The unit’s mandate base strengthened during the quarter and is good.

In 2025, we celebrated Evli's 40th anniversary. Over the years, we have grown into a leading Nordic asset manager and fund house, supporting our clients in building long-term success and directing capital to where it creates lasting value. We are committed to building a more prosperous tomorrow in the future as well.
 

Maunu Lehtimäki
CEO, Evli Plc

Updated in connection with the publication of Evli Plc's Financial Statements Bulletin 1–12/2025 on January 27, 2026.