Raphaël Charlier, PSF Leader at Deloitte Luxembourg;
Credit: Deloitte Luxembourg
On Tuesday 8 February 2022, Deloitte Luxembourg unveiled its twelfth annual analysis of the Professionals of the Financial Sector (PSF) market, showing despite a slight dip in the number of entities, staffing numbers rebounded to near pre-COVID levels, with 16,500 professionals in June 2021.
The total PSF balance sheet amounted to €8.6 billion as at 31 December 2020, a decrease of 2.2% compared with 31 December 2019. The net result for 2020 dropped by 48% to €233 million compared with 2019, as the sector absorbed the shocks of the COVID-19 crisis.
However, the PSF market rallied in 2021 and the total balance sheet bounced back to €9.4 billion as at 31 August 2021, representing a healthy 12% increase. According to CSSF data as at 30 November 2021, PSF enjoyed a provisional net profit of €254 million for 11 months of activities in 2021, compared with €223 million as at 30 November 2020.
The two PSF reports were presented at the annual PSF Conference.
Adil Sebbar, Audit Director at Deloitte Luxembourg said: "According to our analysis, the Luxembourg financial center has continued to anticipate tomorrow’s needs and adapt to changes, reaffirming its leading position in the global financial sector. While the market was not immune to turbulence from the COVID-19 crisis, Luxembourg PSF have rolled with the punches, successfully implementing measures recommended by the CSSF to focus on their core business".
Raphaël Charlier, PSF Leader at Deloitte Luxembourg noted: "While COVID-19 has affected PSF activities across the board, the sector has reacted with agility. Despite lower results overall it continues to rebound, evidenced by the growing number of employed people. We remain convinced of the myriad of opportunities for PSF, including a new focus on ESG for asset managers, increasing PERE activities for specialized PSF, and enhanced digitalization for support PSF".
