Let's get started. Ladies and gentlemen, good afternoon. This is a real pleasure and an honor for me to be on stage to welcome you to this investor day dedicated to Amundi 2025 Strategic Ambitions. As a reminder, this is a hybrid event, so we have guests in the room who are joined by an audience online, watching the event through the specific platform. Let's see first who will be the speakers with us this afternoon. We will have Valérie Baudson, Chief Executive Officer. She will be followed by various members of the management team, namely Fannie Wurtz, Head of Distribution, Wealth, Passive and Alternative Assets.
We'll have Dominique Carrel-Billiard, Head of Real Assets. Guillaume Lesage, Chief Operating Officer and Head of Amundi Technology. Jean-Jacques Barbéris, Head of Institutional and Corporate Clients Division, Head of ESG. Finally, Nicolas Calcoen, Deputy CEO. What will be the agenda? First, Valérie will share with us her vision for 2025 of Amundi and of the industry. We have selected four themes, four deep dives in order to better understand those growth engines. Those will be distribution, real assets, Amundi Technology, and responsible investment. We will explain how we will create value for shareholders throughout the period. There will be a short conclusion and a Q&A session. There will be a coffee break immediately after Amundi Technology deep dive. I'm now happy to leave the floor to Valérie.
Well, good afternoon, and thank you for joining us today. It is my pleasure to welcome those of you here with us in Paris and all of you joining us via webcast. Our ambition for Amundi is to strengthen our global leadership in asset management. By delivering on the strategy we are presenting today, I am confident that Amundi will capture the strong organic growth potential across all areas of our diversified core asset management offer, including our emerging technology and services activities. We will demonstrate how this organic growth can be enhanced by acquisitions, building on our strong consolidation track record to accelerate our development. We will show how Amundi's capacity to generate capital will result in attractive shareholder returns, both in terms of our payout ratio commitment and the ability to create further value.
I am delighted to be joined by members of my management team, who will cover a selection of our growth drivers in more detail. As Anthony explained, third-party distribution, real assets, technology, and responsible investment. Let's get started. In just 20 years, Amundi has become a global leader in the asset management industry. Our starting point was mainly captive and focused on France. We had a clear ambition to become the European leader in a market dominated by U.S. players. Our growth story has mainly been an organic one, complemented by strategic and well-executed acquisitions. Our assets under management have grown threefold since 2010 and doubled since our IPO in 2015. Even though we have grown rapidly, we have maintained the disruptive and entrepreneurial spirit we had on day one.
I am proud of Amundi's success since inception, and I am excited to be at the wheel for the next stage of our journey. Amundi today. Amundi today is the European asset management leader and a global top ten player. We are a leader in responsible investment with proven integrity and credibility. We have unique retail knowhow from servicing partner and third-party distribution networks and their millions of customers.
We have comprehensive expertise across all asset classes and investment strategies, as well as a powerful technology and services platform. We have industry-leading operational efficiency and a track record of profitability. Who we are today is reflected in our highly diversified business mix in terms of clients, asset class, and geographies. Diversification has been a key objective for Amundi since day one, delivering consistent growth. This consistency is reflected in our ability to meet and exceed our financial targets.
We have three main financial targets for the last strategic cycle: net income growth, cost income ratio, and dividend payout. Amundi has achieved or exceeded all of these targets, even when adjusting for the exceptional level of performance fees in 2021. We will maintain this momentum in the next strategic cycle. This momentum will be driven by our ability to anticipate and to adapt to change. The asset management industry has changed significantly since Amundi was created and will continue to evolve over the next 10 years. It is my firm belief that how major players navigate these changes will influence their future success, and I am confident Amundi will be one of the winners. Let's start with macroeconomic conditions. We are operating in an uncertain climate with geopolitical risks not seen for a generation.
GDP growth is slowing, and we are seeing high inflation and the end of a 40-year trend of decreasing interest rates. These factors will cause some short-term or medium-term volatility, and there is a real possibility of recession. We know that. Well-diversified businesses with industry-leading cost income ratios like Amundi will be best placed to manage the impact of negative revenue trends or cost inflation on the bottom line. At the same time, there are supportive long-term trends that provide many growth opportunities. Globally, there is a growing need for savings to support an aging population. Public pension systems are under pressure everywhere, and state retirement initiatives are driving growth in private pension and savings markets. There is also a large pool of retail savings in cash deposits that will be redeployed.
In Europe, cash and short-term deposits make up 45% of household financial wealth, and the IMF also estimates that European households saved an additional EUR 1 trillion during the COVID years of 2020 and 2021. Of course, in an inflationary environment, these savers will need to look beyond traditional savings products. Another key driver will be the growing need to finance the energy transition, of course. The International Energy Agency estimates that total annual investment will more than triple to $5 trillion by 2030 to meet new net zero commitments. Coming to regional opportunities, markets like India and China have only just begun their savings journey.
Asia's share of the global asset management market has grown from 7% in 2010 to 15% in 2021, powered by a rapidly growing middle class. Finally, individual investor expectations are also rapidly evolving. They are seeking responsible investment solutions, becoming more financially aware, more cost-conscious, and of course, increasingly digital-focused. These trends show us what the winners in our industry will look like. They will have, first, global reach with an established presence in Asian growth markets. Second, credibility in responsible investment. Third, expertise across the whole value chain to offer clients the right solution in any market environment. Fourth, the technology and digital edge to enhance portfolio manager decision-making and meet end client needs. Fifth, the ability to innovate and adapt to changing markets, to distribution scenarios, and client needs.
Finally, both scale and efficiency as well as capacity and experience for consolidation. Amundi's strengths across all of these areas translate into a real competitive advantage. Taking all these factors into consideration, we have developed a 2025 plan designed to enhance Amundi's competitive advantage. We have four strategic priorities. We will lead the way in responsible investment. We will strengthen our leadership in asset management. We will become a first-class provider of technology and services across the entire savings value chain, and we will pursue value-creative acquisitions. By delivering this plan, we will meet our ambition. Amundi will be a responsible and global asset management leader addressing all needs of the savings value chain. Let's look at each of these strategic priorities more closely, starting with leading the way on responsible investment.
Amundi had EUR 847 billion in responsible investment assets under management at the end of 2021. We are a leader when it comes to responsible investment, with a leading market share in terms of SFDR compliance solutions. But most importantly, we have a responsible investment approach that has both integrity and credibility. This approach is centered on core convictions that are well established, transparent, and consistently applied by the entire Amundi team. We see responsible investment as for Amundi, it is about recognizing and addressing our responsibility towards society as a leading business and financial player. This is our first core conviction. Our second conviction is that responsible investment is an important driver of the long-term investment performance. Our third conviction is that responsible investment will be our first lever of growth.
In 2018, we launched an ambitious plan with clear targets. This was focused on both the allocation of savings as well as continuous dialogue with issuers to foster more sustainable behavior. This plan has been successfully delivered. Six months ago, we launched a new plan that has three main priorities. We will continue to strengthen our responsible investment offering across products and services. This includes the creation of a comprehensive net zero solutions offer and a target of EUR 20 billion in impact investment assets under management. We will also deepen our engagement with investee companies, expanding the deployment of our climate engagement plan to more than 1,000 companies. We will continue to do what we say in terms of responsible investment, as demonstrated by our remuneration policy and wider governance initiative, such as Say on Climate.
Say on Climate is a clear demonstration of our commitment, and Amundi recently became the first asset manager in the world to table a resolution at its AGM, supported with more than 97% of the vote. You will hear more from Jean-Jacques Barbéris about Amundi's responsible investment approach and our new plan. The second strategic priority is to strengthen our leadership in asset management. We will achieve this by focusing on three key elements, clients, expertise, and geography. We will amplify our growth across all client segments. We will leverage on our full range of expertise, and in terms of geographies, we will strengthen our leadership in Europe, consolidate our position in the U.S., and be a top player in Asia. Let's start with clients. Third-party distribution already represents more than 50% of our retail assets under management.
We manage EUR 324 billion of assets for close to 600 clients. Our goal is to grow third-party distribution assets under management to EUR 400 billion and to be a top five partner to each strategic distributor. The distribution market is changing. Retail clients are becoming more sophisticated. There is a shift from traditional products to customized solutions. Distributors are facing an increased digitalization, regulatory, and administrative burden. These changes are leading distributors to seek out customized relationships with fewer partners. Amundi is ideally placed to support this need, thanks to our capabilities across the value chain, as well as our extensive network partner experience. We are excited about the opportunities for Amundi in third-party distribution. Fannie Wurtz, Head of Distribution and Wealth, will go into more detail.
Sticking with our client focus, our established network partnerships are an important growth engine for the group. These are deep-rooted relationships protected by long-term contracts. They are also a perfect platform to innovate. The innovations we create in our partner networks can be applied to different clients and different markets. Our partner service model brings together solution, services, tools, and dedicated resources.
There is an opportunity to help the clients of our partner networks invest their large cash deposits I talked about earlier. We estimate they have up to EUR 400 billion of cash deposits sitting outside of traditional savings products. This is clearly not the most efficient way to invest when inflation is rising. Banco Sabadell is a great example of our ability to generate value from new partnerships. We have helped to deliver improved performance while generating synergy benefits.
57% of Banco Sabadell's funds are now ranked in the top two performance quartiles. Compared to 13% before the creation of the partnership. As a result, Banco Sabadell has posted EUR 2.4 billion of inflows with Amundi in just 18 months, gaining market share in the Spanish market. We have already generated EUR 20 million of run rate synergies on a pre-deal EBIT of EUR 51 million. This type of partnership creates value for both sides, and we will continue to explore opportunities for partner network growth. We will also continue to grow in the institutional segment. Today, Amundi's institutional activity represent EUR 1.2 trillion in assets under management from over 1,000 clients in more than 75 countries. Growth in institutional activity will leverage on market trends and Amundi's core strengths.
First, our expertise in responsible investment, in particular, the continued development of our net zero product offer, as well as carbon neutrality advisory support. Second, our proven ability to build tailor-made, flexible, and global solutions in all asset classes and all geographies. This includes our outsourced chief investment officer, OCIO, as we call it, where we help to optimize our clients' operational structure, improve investment decision-making, and provide better risk control.
There is a significant addressable market, and we are already winning new mandates, generating OCIO inflows of EUR 8 billion in 2021. In terms of expertise, we expect to see significant institutional demand for passive and real assets, while from a geographic standpoint, Asia will be a source of growth. Amundi will develop a full range of products, starting with funds investing in Chinese assets for both local and international clients.
We will also increase our research capabilities and advisory services for Asian clients. Finally, technology is a vital component of our institutional offer. You will hear more from Guillaume Lesage, our Chief Operating Officer, about our ALTO offer. ALTO's ability to integrate specific client needs is helping our institutional investor monitor daily activity and focus on alpha generation while reducing costs. Let's now move to our core asset management expertise. It is our firm conviction that active and passive, liquid and illiquid assets are all complementary, and our strong diversified offer is an important differentiator. Let's start with active management, where we expect the scope and performance of our expertise to deliver growth. In terms of scope, we have strong, well-diversified coverage and expertise across asset classes, geographies, and investing style.
Multi-asset is a key driver of active management inflows, while we also have a strong thematic equities platform managed by our CPR and KBI entities. The solid performance of our active management firms also drives strong inflows. 86% of our Amundi assets have outperformed the benchmark on a five-year performance basis, while 74% are in the top two Morningstar quartiles for the same period. We are ranked in the top five asset managers globally for 4- and 5-star open-ended funds. The combination of strong performance within a robust risk framework will be one of the key levers for active management growth in the coming years. This will be supported by our differentiated research capabilities, the combination of analysts fully integrated into our investment teams with wider macroeconomic insight from the Amundi Institute is a powerful one.
We will continue to offer innovative value-added solutions adapted to each customer segment. Of course, Amundi's responsible investment expertise analysis will be another driver of growth, providing unique investment intelligence. Looking ahead, we will continue to ensure we maintain the scope and performance of our active asset classes, geography, and investing styles to deliver growth. Moving now to passive management, a business line that is very close to my heart.
15 years ago, I led the team that started what became Amundi's ETF and smart beta offer from scratch. We have enjoyed strong growth and the successful acquisition of Lyxor has created an opportunity to build the European passive leader and accelerate this growth. We have a 14% market share in ETFs today, a diversified client base, a broad product range, and a solid technology platform. We now have almost 400 ETFs.
Our differentiated offer means Amundi is well-placed to take advantage of continued strong growth in passive management. Clients are looking for a full service provider with a broad offering and the ability to build custom solutions. We have three strategic priority in passive management. First, we will increase client coverage and relationships. Second, we will accelerate our penetration of the retail market by developing and signing new partnerships with distributors and bank networks. Third, we will become the leader in ESG passive management by doubling the proportion of ESG ETFs in our range to 40%. Our target is to grow passive assets under management by 50% by 2025. Now moving to real assets. Amundi is already an established player with EUR 63 billion in assets under management across real estate, private debt, private equity, and infrastructure.
We have traditionally focused on core strategies that are less volatile and offer stable income generation. This is a growing market with increasing demand from institutional clients, given its properties as a natural inflation hedge, and because most investors are still under-allocated. There are also growing opportunities to provide retail clients with access to risk-appropriate products. Amundi is well-placed to capture this trend, thanks to its unmatched retail footprint.
Growth will be driven in three ways. We will broaden our offer with larger funds, new strategies, and new expertise. We will also accelerate the retailization of all asset classes and broaden our European footprint. We also see a central role for real assets in making a direct contribution to social cohesion and energy transition initiatives. We will launch a net zero carbon fund for each area of expertise.
Our ambition is to reach EUR 90 billion in assets under management by 2025. Dominique Carrel-Billiard will share more detail of our plans and priorities later this afternoon. The third component of our second strategic pillar is our geographical focus. In Europe, we will amplify our leadership, thanks to our unmatched strength, diversification, and EUR 1.6 trillion of assets under management. We have built up strong position, thanks to the continued development of our third-party distributor and institutional offer, as well, of course, as strategic partnerships with local retail networks. There is only one country where we have a market share above 15%, so there is a continued growth potential, and we will continue to focus on gaining market share, especially in Northern Europe. Next, the U.S., where we will consolidate our strong position.
The U.S. is an established investment hub, managing more than $100 billion of equity, fixed income, and multi-asset products. Two-thirds are distributed locally to U.S. clients, while a third is distributed to Amundi clients in Europe or in Asia. Our U.S. platform has experienced strong growth for the past 15 years, is powered by a team of over 100 experienced investment professionals, and has a long history of distribution relationship with the largest firms. It is a high-performing platform as well. According to Barron's, our U.S. funds ranked number one in taxable bond, number one in world equity, and number three overall. As well as continuing to grow our local offer, we will further develop our U.S. business, thanks to our global distributor capabilities.
This means continuing to raise funds in Europe, the Middle East, and Asia for strategies managed in the US, and continuing to offer US investors strategies managed in our other global investment hubs. Moving next to Asia, a story of rapid growth and strong profitability for Amundi. This is the growth market for asset management, driven by major retirement needs and an emerging middle class with the biggest reserve of savings anywhere in the world.
With EUR 372 billion, Asia now represents almost 20% of Amundi's total assets under management. We already have a sizable footprint combining joint ventures and wholly owned subsidiaries. Asia is not one market, and our strategy and offering is adapted to meet specific local needs. Broadly speaking, we look at three groups of countries. The first group are the internationalized markets that are already open to a global offering.
In these markets, we will continue to bring the best of Amundi's international offering to local, retail, and institutional clients through our direct subsidiaries. The second group are the large domestic-only markets where we are able to capture growth thanks to our powerful joint ventures with leading local partners. In India, our joint venture with State Bank of India, the number one retail bank, represents just over half of our total Asian assets under management. There is a huge addressable market in a country with a rapidly evolving savings industry. In just five years, the joint venture has gone from a small asset manager to a market leader with a 17% share, 4% ahead of our nearest competitor, with room to grow.
In China, we partner with two of the four largest banks, with Agricultural Bank of China in fund management and with Bank of China in wealth management. This provides access to a massive retail client market. In these two countries, our intention is to continue to actively develop and grow this mutually beneficial partnership, of course, when the impact of COVID dissipates. The third group in Asia are the developing asset management markets. We will focus on the markets with the largest potential in Southeast Asia. We already have a presence in Thailand, in Malaysia, where we sell today our international offering. The next step would be to grow in these local markets by expanding our distribution capabilities, potentially via partnerships. Across all Asian markets, we will establish Amundi as a reference asset manager of Asian assets.
We will capture the trend of increased global and regional allocation toward Asian assets, and we will combine the strengths of Amundi's global investment platform and our distinctive onshore investment capabilities. We will build up our local responsible investment expertise as well. I am excited by our plans in Asia. It is an important growth engine for Amundi, and our target of EUR 500 billion in Asia by 2025 reflects that.
Let's move now to our third strategic priority, which is to become a leading provider of services and technology across the entire savings value chain. As I said earlier, asset managers, asset owners, wealth managers, and distributors are all facing pressure in terms of margin, competition, and regulation. Services and digital tools will be essential to reducing their operating costs and allowing them to focus on their own specialties.
Let's start with technology. The development of an innovative and robust technology system has been critical to Amundi's development. Technology has accelerated our integration of acquired businesses. It has also been a key driver of our industry-leading cost-income ratio. We established Amundi Technology as a dedicated business line last year in order to drive the development of our ALTO product range. Our ALTO platform is a tremendous asset internally at Amundi. It is now successfully capturing opportunities with 39 clients in nine countries, thanks to a truly differentiated offer. After a successful launch, Amundi Technology is ready to benefit from a massive addressable market. Our target is to grow revenues from EUR 36 million in 2021 to EUR 150 million in 2025. Guillaume will explain more.
After technology, we will also expand our service offer to take advantage of powerful distribution trends in an open architecture environment in Europe. Fund platforms are one-stop shops that serve as intermediaries between asset managers and distributors. For the fifth consecutive year, fund distribution platforms have grown at a higher rate than the European fund market and now represent over 25% of UCITS funds distributed. This platform industry has been consolidating, driven by fierce competition to acquire new distributors to gain market share and economies of scale. Our wholly owned B2B fund distribution platform, Fund Channel, is already the fourth largest European market player and is highly rated by platforms for quality of service.
It offers access to 600 fund managers and connection with more than 100 distributors in Europe and in Asia. We will accelerate the growth of Fund Channel by reinforcing our commercial cooperation with CACEIS in the fund execution business. This will be a more systematic approach that leverages on the strengths of both companies. Fund Channel currently provides a range of services, but not fund execution. CACEIS provides fund execution services and will bring its fund dealing and safekeeping capabilities and its fund execution client base. We will develop an improved combined offer for CACEIS fund execution clients and create cross-selling opportunities that will accelerate growth. We have an ambitious development plan for Fund Channel with the goal of doubling assets under distribution to more than EUR 600 billion.
The strategy I have outlined is first and foremost an organic one, but we will continue to explore opportunities to accelerate growth via acquisition. This is the fourth strategic priority of our plan. Amundi is a natural consolidator with a proven track record of successful acquisitions and integration, including Pioneer, Sabadell, and Lyxor. We will continue to explore acquisitions and partnerships that can enhance our comprehensive offer. Of course, we will be, as usual, disciplined in how we approach and execute acquisitions.
Opportunities must drive growth with manageable execution risk and deliver a return on investment of at least 10% within three years. The outcome of the plan I have shared with you today will be continued growth in profitability. We will deliver 5% organic annual growth in adjusted net income. This will be achieved by developing our asset management business and ramping up new activities.
We will also maintain our efficiency and cost income ratio levels, and we will deliver attractive shareholder returns, both in terms of ordinary dividend and how we use our excess capital. A payout ratio of at least 65% is expected to generate around EUR 3 billion of dividends over the period. Excess capital could reach around EUR 2 billion in 2025 and will be deployed on value creative acquisitions or additional shareholder distributions. Nicolas Calcoen will take you through the underlying drivers of these targets later on. That's all from me, for now. I will be back at the end of the afternoon for the Q&A session. Now let me hand over to Fannie Wurtz to present our third-party distribution activities. Thank you.
Thank you, Valérie, and good afternoon to everyone. My name is Fannie Wurtz, and I'm the head of Distribution and Wealth here at Amundi. Today, I'm going to talk to you about our third-party distribution business and the significant opportunities we see as a result of a transforming landscape and major market trends. Amundi established a dedicated third-party distribution business at the first time of its creation back in 2010, focusing on strengthening relationship with external distributors. We already had a proven track record of providing integrated investment solution for our banking partners, and we saw the opportunities to offer this deep expertise to a much wider market opening under open architecture. When we talk about distributors, we are talking about a very diverse group in terms of client typology.
This group includes traditional banks, wealth and asset managers, IFAs, insurers, and an increasingly new part of new players such as digital platforms and online banks that are using new tools to interact with their end customers. I will come back later on the growing digitalization of third-party distributors to serve their end clients. I would like also to emphasize the depth of this market. If we only talk about our European market or home market, we are talking about a market that is worth EUR 12.5 trillion. Amundi is ready to capitalize on this opportunity as a global player with a well-established third-party distribution platform. We have EUR 324 billion of third-party distribution AUM from more than 550 clients and across all client types.
We have a 200-strong global sales team that is complemented by specialized sales across ETF, alternatives, and treasuries. As we can see from these slides, we are very well-diversified, both from an AUM perspective and a client servicing basis, thanks to a broad presence in 27 countries. While we are more weighted towards Europe, which is a home market, we also have significant growth in Asia and the Americas.
This third-party distribution platform is providing a powerful growth engine for Amundi. Our business has grown seven times since 2010, while also expanding in terms of scale and operations. We obviously see significant further growth ahead of us. Third-party distribution now represent more than 50% of Amundi total retail AUM, up from 25% in 2010. This includes Lyxor, of course, which we fully integrated at the end of 2021. We have enjoyed strong inflows fueled by both active and passive activities. In 2021, we saw inflows of just under EUR 24 billion, and the acquisition of Lyxor has consolidated our positioning in areas of expertise beneficial to a third-party distribution offer, particularly ETF. This acquisition was also a key driver of the positive momentum we have seen in Q1, with close to EUR 11 billion in inflows.
This has included healthy activity in Italy, Germany, as well as strong passive contribution. We will continue to grow in the next strategic cycle and have a target of EUR 400 billion by 2025. This growth is supported by several market trends. The first driver is a continued growth of global financial wealth, which reached $250 trillion in 2020, according to a global wealth report from BCG. Going forward, financial wealth worldwide is expected to grow almost 5% per year in the next three years. The second driver is a growing and evolving European pension market. Defined contribution, DC assets, are set to triple in the coming years to almost EUR 14 trillion by 2030. The rapid rise of private and individual pension schemes and major reform across key markets are creating new long-term savings flows to capture.
This will benefit both the private pension fund sectors and distributors who will have, in that regard, a key role to play. Third, the progressive growth of non-proprietary distribution in an open architecture environment is creating increased opportunities to capture inflows. As the data shows on this slide, this is happening more rapidly in some countries, but the direction of travel is especially clear in Europe. Finally, the strong growth of online distribution. We have seen increasing usage of B2C platforms in Europe by retail customers in parallel with online banking market growth. This increasing digitalization is an opportunity for large players with a strong digital offer like Amundi. On top of these market trends, there are transformations on the way in the distribution market. These changes create new needs for third-party clients that Amundi can benefit from.
The key changers are, at first, retail clients are becoming more and more sophisticated and demanding in terms of advisory and support. This means distributors need to spend more time personalizing their relationship with their end clients. We expect to have a more active influence on decision-making processes. Second, this is also resulting in greater digitalization needs with significant spending implications. Distributors must ensure anytime, anywhere, any device coverage for their end clients. They must offer access to a full suite of digital tools, including advisory workflow, simulations, electronic signature, and CRM. Third, on the product side, and Jean-Jacques will cover it later on, there is a shift from traditional products to more responsible investment solution, as well as thematic and impact investing solutions. Fourth, all of these changes are compounded by an increased regulatory and administrative burden.
These obligations include MiFID II, SFDR, know your clients, anti-money laundering requirements, and not to mention interaction and advice documentation and reporting. All of these are also happening at a time where distributors are coming under margin pressure. As a result of this transformation, many distributors are transitioning to a more specialized advisory-centric offer. This creates a new set of needs and expectations from their partners. They need a partner that can provide tailored investment solutions. They need a partner that can provide as well mass education towards their advisors and end clients. They need a partner that can handle their key technological and digital challenges. They need a partner that will support their open architecture development. Finally, they need a partner who has the experience, expertise, and credibility to help them develop a robust, responsible investment offer.
These specialized needs are driving distributors to focus on long-term partnerships with players that can support them across the entire value chain. This is reflected in market data. Based on Broadridge research, the number of partners per distributor has decreased by a quarter in recent years from 42 to 32 in 2021. We have a strong platform that we can use to capture this change and drive future growth.
Amundi's integrated offer, as demonstrated by this visual, combines market-leading products, services, and solutions, and is fully aligned to these changing needs. This makes us the ideal partner for third-party distribution. First, we have extensive distribution experience gained from servicing our network partners. Across our French and international network partners and also third-party distribution business, we are already reaching over 100 million clients. This gives Amundi a unique understanding of advisor needs and end clients' expectations.
Second, we offer a full range of high-performance products covering all asset classes and geographical areas. We offer top-performing products across active, passive, alternative, and real assets, on which Dominique will elaborate later on. As an example, we have a very high number of four- and five-star Morningstar funds, 283 at the end of March 2022. Third, we have the ability to structure sophisticated tailor-made solution, mixing active, passive, and alternative management processes. This means creating a solution adapted to each type of distributor, be they retail, private banks, insurers, family offices, and digital banks. This also means every medium, fund of funds, discretionary or advisory services. As well as any geography, thanks to the extensive coverage I highlighted earlier. We are already delivering more than 280 key mandates, 110 model portfolio to more than 30 distributors.
Fourth, we provide a comprehensive range of digital tools for asset and wealth manager, and you will hear more from Guillaume about our ALTO offer, but this is a key differentiating factors for our discussion with our current and potential clients. Technology and digital channels are playing a central role in manufacturing and distributing products to end clients. Finally, we have recognized expertise in open architecture solutions. This includes our B2B fund distribution platform, Fund Channel, which Valérie has highlighted earlier, and also advisory platform, which I would like to spend a moment focusing on. We are already a large player in externally managed solutions. We have more than EUR 18 billion through long-only or alternative solution, boosted by the addition of the hedge fund UCITS managed account platform from Lyxor.
We are now ready to add even more visibility and strength to our offer by creating a dedicated platform for our long-only solutions. We launched a comprehensive multi-manager sub-advisory platform in 2021 to provide client access to the best external manager strategies. This platform allow us to offer expertise that is complementary to our own and help our clients optimize their open architecture. In recent years, there's been an explosion of assets managed by sub-advisory platform. The market has almost doubled to EUR 1.3 trillion over the last five years, and is expected to grow to EUR 2.1 trillion by 2025. Amundi offer a cross-border UCITS fund range of long-only strategies managed by external fund managers to deliver strong alpha. We can leverage a strong team of 36 professionals across structuring and third-party manager selection.
We already have seven funds live, a number which will double in 2022, and the goal of this platform is to offer 50 funds covering all key asset classes, capitalizing on Amundi's operational, technological, risk management quality, our purchasing power and market access, as well as our recognized investment solution approach. We talked about our comprehensive partnership offer. Let's now take some examples into action.
Let me start with AXA. AXA France Private Wealth has launched three new discretionary portfolio management offers, and Amundi has been selected to manage one of them using a responsible ETF range. The management of the solution is made up of 100% Amundi product based on our expertise in responsible investment and asset allocation. Second, Amundi has been selected to manage model portfolios developed by our multi-asset team for Saxo Bank, SaxoWealthCare, an investment solution part of its digital offering.
This responsible investment solution has been deployed in Europe and Asia. Finally, Amundi has been a partner of TTB in Thailand for several years. First, as an advisor to its TPM offer, then as a delegated asset manager for a range of Thai fund of funds, targeting retail clients with different risk-return profiles. Amundi provides fund selection in full open-architecture mode, asset allocation, as well as marketing and communication support to these clients. As this example are demonstrating, our ability to offer a tailored solution based on specific distributor needs is key to our offer.
In conclusion, we have a clear plan and are extremely confident about our ability to grow our third-party distribution business. Our target is to reach EUR 400 billion by 2025. In addition to these financial targets, we are also setting ourselves the partnership KPI to become the top five partner for every strategic third-party client. Ladies and gentlemen, thanks a lot for your attention. I will now hand over to Dominique Carrel-Billiard, our Head of Real Assets.
Thank you, Fannie. Good afternoon, ladies and gentlemen. My name is Dominique Carrel-Billiard. I'm the Head of Amundi Real Assets. Today, I'm going to outline for you why we are confident that our multi-expertise platform managing investments in real assets will be a powerful growth engine for Amundi for the years to come. This conviction is based on four facts. As Valérie Baudson already highlighted, we are already a well-established player in private markets. We have a proven ability to incubate and grow new expertise in this field. We have a clear roadmap to pursue our expansion, and we operate in a market that will give us many growth opportunities in the medium term.
To substantiate these claims, I will give you an overview of our business today, explain our growth plans, and share with you our analysis of the fundamental factors that make these expansion plans both realistic and credible. Let's start with an overview of our business today. Amundi has a well-established presence in private markets with a multi-expertise platform spanning real estate, private equity, private debt, and infrastructure. We have deployed investments in 14 European countries and today have EUR 65 billion of assets under management. In total, we have 250 professionals operating in five countries: France, Italy, Luxembourg, the U.K., and Spain. A common thread that runs across all our expertise and investment strategies in real assets is selectivity. We have traditionally focused on core strategies that are less volatile and offer stable income generation.
We focused on core and core plus assets in real estate and infrastructure. We focused on senior secured instruments in private debt, as well as buyouts and growth capital in private equity. Our expertise serve both institutional and retail investors with roughly a 70%-30% split. Our mission, indeed, is to make these hard-to-access assets available to the broadest possible set of investors, and I will come back to the retailization which Fannie flagged in her presentation.
Each area of expertise follows its own strategy, but they all share a common platform. Shared resources in sales and marketing, IT and operations, and control functions. Our business has enjoyed strong growth to date. Since the real asset division was created in 2015, we have more than doubled our size and enjoyed a compound annual growth rate of more than 14% since 2016. Commercial activity is strong. We had net inflows of EUR 4.7 billion last year, up from EUR 4.4 billion in 2020, and have already gathered EUR 2.2 billion in the first quarter of this year. We are the largest real estate manager in Europe for offices and the 10th-largest overall.
In France, we are the largest provider of real estate investments for retail investors. According to Preqin, we are the 10th-largest asset manager in private debt in Europe, and we have the largest social impact fund in France. Our growth is set to continue over the medium term as the market for real asset investment continues to grow. The attractiveness of private market is based on the following four facts. One, it offers a natural inflation hedge, providing strong diversification, especially when combined with bonds. Two, most investors are under-allocated to private markets.
When polled by Preqin about their intention to allocate to the asset class, over 70% of the institutional clients say they will increase or materially increase the proportion of their portfolio allocated to real assets. When you poll high-net-worth individual, the percentage is 76%, and while this figure is only 35% for mass retail investors, one can expect it will only continue to grow. The third point is that private markets offer superior prospective long-term returns when compared to listed equivalent due to their illiquidity premium.
To illustrate, according to Amundi Institute data, the difference is around 300 basis points for private equity versus listed equity and 150 basis points for private debt versus corporate debt. Real assets are a growing platform because they also provide investors, as Valérie highlighted, with an opportunity to make a real difference on environmental and social issues. It is indeed easier to control and influence assets than to influence listed investments that are shared with a broadly distributed public investor base.
Based on all of the above, those four points, the real asset market is expected to grow over 8% per annum through the period of the plan until 2025. Going forward, in this supportive environment, our growth will come from a multipronged approach, which we describe on this display. For every asset class, we will increase the size of our funds, every new generation of fund. Our teams will launch new strategies. We will incubate new expertise in areas such as direct lending and fund of fund. I will elaborate further on those incubation later on. We will accelerate the retailization of these asset classes as well as broaden our European footprint.
These growth levers are embedded in the strategies we have developed for each of our expertise, and I will now detail the concrete action steps that we are implementing to deliver growth. On this slide, we show the key initiatives we will implement for each of our platform. Let's start with real estate. In real estate, our strategy is focused on two areas. We are already the market leader for French retail investors, but we want to build a retail presence in other European countries.
To this end, we are launching a new innovative product we call Realty. The investment strategy of this fund is to acquire buildings that are being developed. They don't exist yet. They will achieve the best environmental performance and offer a modern experience to tenants. For investors, that strategy will also deliver higher returns. As a European long-term investment fund, it can be passported centrally and gather assets in all European Union countries. This makes life easier for fund distributors and offers a broad pan-European investment universe for locally based investors.
The second focus for our real estate activities is in the institutional market, where our business historically has been driven by mandates and club deals. The next step is to promote commingled funds. To this end, we have launched a range of sector-specific funds, offices with REP, logistics with ALICE, and retail with ARPE. For private debt, the challenge is very different. We currently only offer senior debt, and we want to enrich our offering by increasing the risk and return profile of our investments. We will develop a presence in direct lending, meaning unitranche, junior, and mezzanine debt by hiring new talent to incubate this new expertise.
In addition, we will broaden our origination network. The new countries include Spain, Germany, and the Nordics. Finally, for private equity and infrastructure, our new frontier is to develop a commingled fund of fund offering aimed at retail customers and small to medium-sized institutional investors. This will leverage new skills that we are hiring in secondaries and co-investment. In our capacity as a gatekeeper for our partner networks, we will also explore distribution partnerships for expertise not covered by the platform. We have already piloted a program with UniCredit's private bank in Italy to distribute a private equity fund, Amundi ELTIF Private Investment Capital, which is sub-advised by another private equity house and that raised close to EUR 150 million in the first half of this year.
As part of Amundi's wider responsible investment for 2025 ambition, as announced by Valérie, we will be launching a net zero carbon fund for each area of our expertise, starting with ARPE for real estate and a private equity impact fund. Across all expertise, we will push our retail offering. This slide mentions the key products we already offer and expect to launch for retail investors. I have previously mentioned the increased demand for real assets coming from retail clients, particularly high net worth and affluent investors, given the search for yield and inflation protection in a negative real rate environment. As I said at the beginning, we are already the largest producer of real estate fund in France for private investors with more than EUR 17 billion of assets under management.
We have also developed and successfully sold similar vehicles targeting retail investors for all our other expertise. In private debt, we already raised close to EUR 300 million from retail investors in various corporate and leveraged loan products. In infrastructure, we have created Amundi Énergies Vertes, a life insurance unit-linked product investing in renewable energy projects that raised EUR 80 million last year. Our direct private equity team manages nearly EUR 1 billion for private investors. Going forward, we have a pipeline of new product launches, and we expect the ELTIF format to make these types of initiatives even more accessible to retail investors throughout the European Union, which will enable us to reach a larger scale. The development of a multi-manager, multi-strategy fund of fund is our next frontier for the retailization of the real assets world.
We believe that the strategies and initiatives that I've described to you are both credible and realistic because they leverage on the same key success factors that have driven our development to date. I will highlight the following ingredients that are effectively at the core of our formula to grow in real markets. The first is our ability to originate attractive investment opportunities because we are positioned within a large diversified banking group, as well as thanks to our many partnerships with major financial institutions everywhere in Europe and abroad.
Second, we have a significant access to distribution, and we can leverage on Amundi's deep capabilities in that regard. Third, thanks to our brand and our size, we have a strong ability to attract and retain talent and build the teams over the long term to present credible track records for investors. Finally, we have access to seed capital. This recipe for success has been particularly effective for the growth of our private debt platform as illustrated on this chart.
Today, we are the tenth-largest private debt manager in Europe with three key areas of focus, senior corporate loans, senior leveraged loans, and senior real estate loans. All these expertise started from scratch, experienced rapid growth as illustrated on this slide, and now manage EUR 8.9 billion of assets with successful teams that have delivered track records in line with our clients' expectations in terms of risks and returns. Going forward, we will replicate the same formula for the direct lending and the fund of fund initiatives that I have mentioned. Based on the plans I have described, we are confident that we can grow Amundi Real Assets AUM base to EUR 90 billion by the end of 2025.
In summary, we believe that the real assets market offers Amundi significant growth opportunities. We have a clear roadmap to capture those opportunities and believe our plans are credible given the set of competitive advantages we can draw upon. With that, I rest my case. I thank you for your attention, and Guillaume Lesage is up next to discuss our business development and technology initiatives. First, to introduce the topic, let's watch a brief video that will give you a demonstration of our tools. Thank you for your attention.
Thanks to ALTO Investment, portfolio managers can benefit from a dedicated ESG view with details of the portfolio concerning its ESG average rating, the ESG delta, its ESG exposure, its ESG composition, and the list of top 10 and bottom 10 ESG rating. Everything that is shown here is fully customizable, and the client has the possibility to select ESG data providers or implement a dedicated ESG methodology aligned with its needs. Below is the line-by-line detail of the portfolio. Portfolio managers can generate a detailed ESG analysis for a given issuer. On the overview page, there is information about the issuer, the short-term credit rating of the three credit agencies, the long-term credit rating, and the ESG rating.
Portfolio managers can also access a specific ESG tab and see the ESG rating and its evolution over time, the different components of ESG and energy transition, as well as the positioning of the issuer compared to its peers. Lower on the page is the breakdown of the different components of the issuer's ESG rating. A specific climate page gives access to different indicators. The goal is to allow each manager access to ESG and climate analysis at all times.
Good afternoon, everyone. I am Guillaume Lesage. I'm Deputy CEO and Chief Operating Officer of Amundi, and I oversee the Amundi Technology business line, which I will focus on today. I will present what we have achieved to date, the ALTO platform that forms the core of our offer, and where we will take the business by 2025. Firstly, why did Amundi make the decision to enter the technology space? Since its inception, Amundi was convinced that its development could not be achieved without an internally developed, innovative, and robust technology system. This system has successfully supported Amundi as it multiplied its assets under management by three, and as it rapidly integrated acquisitions. Each of those acquisitions also served to grow the capabilities of our platform.
International deployment, including the U.S. with Pioneer, entering the Chinese market with a JV with Bank of China, and the ability to handle alternatives or synthetic products with Lyxor. At the same time, we also realized that there was a strong demand for new, innovative, and flexible offer based on fresh technology. In 2016, we made the decision to start selling our own system to other asset managers and then banks.
Amundi Technology was formally launched last year in January. Today, it's a global team of 900 professionals in 19 countries with two major hubs, one in Dublin, one in Paris, and it serves 42 clients located in nine countries. What is the Amundi Technology offer? We provide software sold as a service to all financial institutions, not only asset managers, but also asset servicers, also wealth managers and distributors.
Our target is the entire savings value chain, whatever the type of client. The offer today comprises 4 product lines. one, ALTO Investment. It's our portfolio management system, and it covers the entire asset management value chain for a large number of investment strategies. ALTO Wealth and Distribution is our modular platform for wealth managers, for private banks, for distributors. ALTO ESR is the consolidated management platform dedicated to savings, retirement schemes for distributors and asset owners.
ALTO Asset Servicing, which provides a depository control solution. Each of those products are both ready to use and can be adjusted to meet specific client needs. What makes ALTO different from our main competitors? There are five key value-add differentiators, which we strongly believe are unique features on the market. 1, our platform, ALTO, is brand new. It's open source. It's natively API based.
It runs on the cloud, but on a private cloud as a software as a service. That means scalability and quick setup. It includes natively artificial intelligence features such as natural language, Python programming, machine learning. This means it's very flexible, it's easy to integrate, and it can evolve quickly, contrary to some legacy systems which are generally between 20-40 years old. Second, we have a deep understanding of the needs and constraints of asset managers and financial institutions, both commercial and regulatory, because we are in the business contrary to specialized software firms. Third, we have a battle-proven capacity to implement systems and help our clients transform their operating models. Fourth, our solution is more cost-effective than the competition, both to implement and to run. Why? Because of the tech and because it is new.
Amundi IT costs represent 6% of our revenues, whereas the average in the industry is 12%. We can help bring this performance to our clients. Finally, ALTO covers a large array of functionalities thanks to our experience supporting Amundi's wide offer. We are able to propose top-notch services such as dealing, such as middle office, something which is unique on the market on top of the software. We now offer ALTO to a growing client database. At the end of Q1 of this year, there were 42 clients using ALTO in nine countries. Those clients are spread across the four business lines. Few points I would like to highlight. First, we serve very diverse clients, from small asset managers that want to grow, like Credit Suisse in Switzerland, like Fineco, or large banks like Bank Austria or LCL.
We have equipped two large insurance companies with ALTO Investment, AG2R with EUR 120 billion of AUM, and Malakoff Humanis with EUR 50 billion. We have signed a global alliance with BNY Mellon, who has chosen us for their depository control activity in all locations, U.S., Europe, South America. We also provide our software to Crédit Agricole companies. This is valuable, both because Crédit Agricole is a large group and because it brings us a deep knowledge of a specific requirement faced by major banks, faced by asset servicing or insurance companies. Practically speaking, what does it mean for a financial institution who chooses ALTO? Let me show you an example with Fineco. Fineco Asset Management is an Italian asset manager based in Ireland.
They wanted to acquire a full PMS, portfolio management system, together with services such as middle office and dealing. Their main requirements were, one, to be quickly ready. Second, to be able to support a rapid growth with no constraint. Third, a solution that would allow for progressive expansion of asset types, complexity of products. What did we do? ALTO enabled them to be live in four months, and it supported almost four times increase in AUM without the need to hire IT specialists to invest in infrastructure while ensuring total regulatory compliance at all times.
Let's talk about the opportunity for Amundi Technology. First, we are talking about a significant market. Analysis we have carried out with external consultants has shown that the addressable market is worth much more than EUR 1.6 billion and is growing at 10% per year. This analysis incorporates the financial institutions in Europe and Asia that will be open to a change in system in the coming years. Second, we are well-positioned in this market. New entrants will be limited because it's complex, it's costly, it takes time to build these type of systems. There is competition, but it's fragmented with a variety of local and global players, mature solutions, and none of them covers the entire savings value chain like us.
Third, it's the right time. We believe financial institutions need to make a move now because of the pressure on margins, because of the increased regulation, and because of a digital acceleration. They will more and more need flexible modular solutions like ALTO, solutions that will help them replace legacy systems that they have chosen on average 10 years ago. Where do we stand today? 2021 was very dynamic, with an increase of 15 clients compared to the year before and revenues of EUR 36 million at the end of the year. The pipeline is robust, three new clients in Q1 and a list of 14 clients across the four platforms where we are in advanced negotiation.
We are also continuing to grow the platform to meet the growing needs of our clients. Two products are in the pipe. First one is ALTO Sustainability, which we saw on the video. It covers a range of ESG needs from data management to analytics, and it will be offered progressively to external clients starting in Q4 of this year and the start of next year. Second tool, ALTO Reporting, which enables client to consolidate data and produce dynamic and ready-to-use and ready-to-distribute reports directly managed by the client. This product was made available in Q1 of this year. It can be used as a complement of ALTO, but also independently or even connected to another PMS.
To summarize, we are extremely optimistic about the future of Amundi Technology. Thanks to the key strength of our growing ALTO platform and the huge addressable market in front of us. As a result, we are targeting 2025. In 2025, revenues of EUR 150 million. Thank you.
Okay, we are back to business for the second half of the afternoon, which will first be green with Jean-Jacques Barbéris, and then the spicy part with Nicolas Calcoen. I now leave the floor to Jean-Jacques.
Good afternoon, everyone. My name is Jean-Jacques Barbéris, and I oversee Amundi's responsible investment activities. I have two ambitions for this session we have together. First is to explain what we do and how we ensure the total integrity of what we do. Second, to share with you how we are positioned to capture market growth, most notably driven by two things at the moment, increased retail demand as a result of regulatory change. Let's start with a bit of history on how Amundi developed its responsible investment offer. What you can see on the slide is that responsible investment was one of Amundi's four founding pillars since the very beginning, which means concretely that we have had a dedicated ESG department since day one in the company.
Our experience ensures that responsible investment is fully integrated into three main dimensions of what we do, our investments, our engagement with companies we invest in, and of course, our CSR commitments. I would like to highlight two key moments in our responsible investment development. First, our 2018-2021 plan, which had one main objective, which was to integrate ESG into all our investment platforms and all our open-ended funds, and I will come back to that.
We have successfully achieved all initiatives for this plan. The second key moment has been the launch of our new ambition 2025 last December, which focused primarily on increasing our responsible investment offer. What you see here on that slide is that Amundi has taken part in, and in many cases has initiated the majority of the asset management industry ESG initiatives in the past.
We have also pioneered the development of new responsible investment markets in partnership with a number of international financial institutions. We're proud to have established what we believe is a position of reference in responsible investment when it comes to the leading global asset managers, and our ambition is to continue to lead the way. Amundi's responsible investment journey has anticipated a growing market demand for both product and responsible investment solutions.
This slide characterizes the evolution of this market, in particular in terms of growth and of geographical diversification. First, in terms of growth, the chart shows the global growth trajectory of ESG mutual funds, now a EUR 6.7 trillion market, that has grown 48% since 2019. In 2020 and 2021, you see that on the slide that responsible investment has represented 24% of global flows.
Second, in terms of geography, Europe and international funds make up the majority of this total, but you see there that both North America and Asia Pacific demand is increasing and will continue to grow. Thanks to our strong foundations in Europe, as well as our strong global offer, we consider we are by definition well-positioned on this growing market. This is reflected in our own growth over the same period. As of March 2022, Amundi reported EUR 834 billion of responsible investment assets at the end of March, which means that we are now number one when it comes to responsible investment within mutual funds in Europe and globally with a roughly 7% market share. This growth has been driven by two things.
First and foremost, we have carried out the significant task of transforming our stock of what I would call traditional investment assets by integrating responsible investment objectives into them. This process was the key driver for the very significant increase between December 2020 and December 2021. The second driver has been to capture a significant part of the growing market I have described. We believe we have a strong track record and have the positioning and capacity to continue to capture inflows on this market in the future. Let me now go a little into details and explain how Amundi's EUR 834 billion of responsible investments assets are broken down. Basically, what's in it? Responsible investment policy can be integrated into investment in different ways. It can be first through open-ended funds with dedicated ESG objectives.
It can also be in mandates on behalf of institutional clients that may integrate specific objectives that they define or that they co-build with us. By definition, our responsible investment assets encapsulate both dimensions, funds and mandates. First important element to have in mind. This slide highlights some of the key investment styles for responsible investment at Amundi. The first, and this is what we do for all our open-ended funds, is what we call beat the benchmark, where the portfolio manager has the objective to beat the ESG benchmark at all times. It means, practically speaking, that the portfolio manager has to ensure that her or his fund has a higher ESG portfolio score than the investment universe, and this is an objective to be met.
Another example of what we do are funds or strategies with dedicated climate objectives. The example that is shown there is, for instance, CPR Invest Climate Action, which is a fund that invests into international equities committed to limiting the impact of climate change in line with the Paris Agreement. It therefore has carbon footprint objectives that are mandatory for the portfolio manager to meet.
You also have, as an example of responsible investment styles, dedicated investment policies for the applications of local labels, such as the one that is reflected on that page, which was developed by Belgian organization, Febelfin, as a quality standard for sustainable financial products. All of these elements are incorporated into Amundi's EUR 834 billion of responsible investment assets, and then can be divided in two broad categories that are reflected on the chart that is there. The first is the largest, representing EUR 772 billion of assets under management.
That includes all funds and mandates with multidimensional ESG integration into the investment process and/or objectives. The second category, representing EUR 62 billion in assets under management, encompasses all responsible investment-themed activities. Effectively, we are talking about different categories of responsible investment assets, which we monitor and report on quarterly. If we move now to our responsible investment setup, it is here to ensure the integrity of the offer I just described and is driven by four main elements. Starting at the top left, you would see our dedicated ESG department that is now made of more than 45 people, which is fully focused and only focused on the implementation of our responsible investment policy.
I would like to underscore that the independent nature of this team supports the integrity of our approach, as this team has notably the power to impose decisions, if need be, directly on portfolio managers. The second element is our proprietary ESG rating model, which now scores more than 13,000 companies worldwide, effectively basically most of the global listed company universe. By using our own model, we are able to integrate another dimension of independence and responsibility to our offer. Moving to the right-hand side, the third element is our in-house investment system, ALTO, which allows the total integration of ESG and climate data to support portfolio manager decision-making. You've just seen our dedicated ALTO Sustainability solution in action during Guillaume's presentation. This is something that is up and running for all the portfolio managers of Amundi.
The fourth element that ensures the total consistency of our responsible investment offer is our engagement and proxy voting policy. For the record, Amundi votes independently on more than 70,000 resolutions a year, and our policy aligns our analysis of a company, the decision to invest into it, and the subsequent engagement, both direct and via voting at the general shareholder meeting. All of these capabilities are enhanced by a robust and fully integrated control system that operates at all levels of Amundi, as demonstrated by the visual on this slide. First, rules are defined by the responsible investment department and validated by our ESG and climate strategy committee that is chaired by Valérie. These rules are integrated into fund documentation and are revalidated by the responsible investment department. That's the first moment.
Second, these rules are all monitored by our risk division. Third, responsible investment guidelines are integrated into our systems, which means, practically speaking, that ALTO would directly block investment into a stock that doesn't meet the relevant responsible investment criteria, while our risk tools ensure that portfolio managers, for the example I just took previously, meet the benchmark objective on ESG they have on a daily basis. Fourth, the amount of assets under management that are classified as responsible investment as of last December 2021 has been reviewed by Amundi's statutory auditors. This whole chain ensures the integrity of our responsible investment approach at all levels, from definition of concepts to risk controls. I spent some time on the setup. I'd like to go back a little bit on the market.
In terms of the development of the market going forward, I think it's very important to understand that this market is driven by two forces at the moment. The very first is the fact that what was predominantly an institutional market is also now becoming a retail one. The retailization, which is a word that Dominique used, is also at stake when it comes to responsible investment. In 2021, over 70% of new flows in Europe were directed to ESG funds, and over two-thirds of these flows came from retail investors. The second, the other market dynamic, is the continued evolution of the regulatory landscape on two fronts. The first front is the normalization of what exactly a responsible investment fund is. This is notably tackled by the EU Taxonomy Regulation.
The second regulation that I think you're all aware of is the Sustainable Finance Disclosure Regulation, SFDR, which aims to make the sustainability profile of funds more comparable and better understood by end investors. It means practically that from January of next year, an individual investing into a mutual fund in Europe will have at his disposal a number of new indicators to assess the sustainability of the fund under Article 6, 8, 9 as it is as of today. Amundi has been historically well-positioned on that front as we are positioned with the largest Article 8 and Article 9 offering, and we are now, of course, working on the adaptation to this new landscape.
Why we believe that Amundi is well-positioned for this opportunity is because our commercial efforts are focused in particular on positioning our responsible investment products for individual investors in particular. For third-party distributors, as Fannie mentioned, we are, for instance, expanding our off-the-shelf offering that is now made of more than 865 funds, which integrates responsible investment objectives.
We also offer dedicated environmental and social solutions made up of responsible investment bricks, if you allow me the expression, on all asset classes and dedicated offering on E&S for distributors. This also includes, because it's important to capture the local dimension, a range of country-specific offers with national or local labels. As mentioned earlier, at the moment we have 165 funds labeled in France, Luxembourg, Belgium, and Germany in particular. That was for third-party distributors. For partner networks, we have also created dedicated product ranges.
For instance, for example, for Groupe Crédit Agricole, we have created what is called the 100% committed range, cent pour cent engagé, which includes products with a range of wealth and risk appetite from responsible investment unit-linked to private bank products. If we come now to our 2025 ambition, as I mentioned earlier, we launched our 2025 plan six months ago. This plan includes 10 activities across three pillars, which you can see on the screen. The first pillar is additional responsible investment solutions to be distributed to our clients, in particular for the retail ones.
This includes, as Valérie mentioned earlier, offering a net zero solution to all clients on all asset classes and a very ambitious target to make 40% of our total ETF range responsible investment by 2025, meaning the largest ESG ETF range in the world. The second pillar is greater engagement towards investee companies. The third relates to our own internal commitments because we believe that to be credible on that front, you need to be exemplary on, I would say, ourselves. I'm not going to go through the whole plan now, but I would like to highlight two elements already achieved on in the last part. First, as we recognize that change starts with us, we have included a number of internal commitments to align the incentives internally in the company, and they have been implemented already.
The second element, which we are extremely proud of, is the Say on Climate that we successfully presented to our shareholder meeting a month ago and that was massively supported by our shareholders, maybe some of you in the room. I would like to leave you with three key takeaways. First, Amundi has a historical positioning that has made us the largest responsible investment asset manager in the world at the moment.
This is built on strong internal processes that ensure the total integrity of our responsible investment approach. This integrity allows us to have a clear direction of where we want to be next, as demonstrated by our 2025 plan that will see us continue our path in line with market evolutions, driven both by regulation and retailization. We'd like to thank you very much for your attention, and I will now leave the floor to Nicolas, who will present our four pillars of value creation. Thank you very much.
Good afternoon to all of you, and thanks again for being with us today. You have heard from Valérie about Amundi's vision for 2025. You have also heard from my colleagues on particular areas of focus for the next few years. In my presentation, I will focus on how this translate into value creation for our shareholders. We have four pillars of value creation. The first is continuous strong organic growth. As Valérie mentioned, our target is a 5% average growth of adjusted net income in neutral market conditions. I will break down the key drivers of this growth. Second, our resilience will be a key feature, particularly in this more uncertain economic environment. We maintain a cost to income ratio below 53% once Lyxor synergies have been fully realized.
I will also demonstrate why Amundi offers a more stable profile compared to the industry. Third, our payout ratio of at least 65% will provide attractive shareholder returns. Finally, as Valérie mentioned, we have the option to enhance our organic growth plan through M&A, building on our track record as a successful consolidator in the industry. Amundi has consistently demonstrated its ability to deliver growth. When you look at our adjusted net income trajectory over recent years, we have gone from EUR 946 million in 2015 to around EUR 1.3 billion in 2021. 2021 benefited, of course, from an exceptional high level of performance fees. On a normalized basis, our adjusted net income was EUR 1.16 billion. This represents an annual compound growth rates of 7% compared to 2018.
Importantly, when we break down this growth, around 5% was generated organically, and the acquisition of Sabadell Asset Management in 2020 and the associated synergies made up the remaining 2%. It's also important to note that this acquisition was fully financed via our own available capital resource. In summary, the 2018-2021 period is a good illustration of Amundi's ability to deliver growth both organically and by acquisition. Looking ahead now, our 2025 target is to achieve average net income growth of 5% on an organic basis. There are two important points to keep in mind here. First, the growth target assumes a broadly neutral market effect in 2025 compared to average market levels in 2021. Second, the starting point is a 2021 normalized adjusted net income figure of EUR 1.16 billion I just mentioned.
This excludes the exceptional level of performance fees over the average level of the past period. Moving now to the 5% target, the development of our core asset management business is expected to account for around three-quarters of organic growth. As you have heard today, we are well-positioned to benefit from the trends that are shaping the asset management industry, namely the growing importance of responsible investment we just discussed, the progressive growth of passive management, the search for yield through real assets, including for retail clients, the emerging middle class and fast-growing pool of savings in Asia, and the growing importance of our retail clients as a common feature. That leaves a quarter to come from the ramping up of new activities. This includes the growth of Amundi Technology and services such as Fund Channel.
To conclude, we are very confident that this mix will support our growth during the next strategic cycle. Moving now to the second pillar of value creation, I would like to illustrate the resilience of Amundi's business model. I will start with the sensitivity of our revenues to market variation. This has been updated to take into consideration the evolution of markets in 2021, as well as the integration of Lyxor. In terms of equity market first, we estimate that a 10% increase would result in an increase in management fees of around EUR 125 million on a run rate basis, and vice versa in case of decrease.
Second, for fixed income, we estimate that a 100 basis point increase or decrease in long-term interest rate would result in a decrease or increase respectively of our management fees by around EUR 50 million on a run rate basis. This moderate sensitivity to market variation comes from our diversity in terms of portfolio and investment style, which ensures limited dependency to specific asset classes or specific investment areas. Let's stay for a moment on the concept of business diversification. I emphasize this because it has been an important feature of our developments since the creation of Amundi, and today it is embedded by design in our business model. In addition to asset class diversification, we are also very well diversified in terms of client segment and geography.
Besides the split by client segment you can see on the slide, I would like to remind you of the very large number of clients within each category. More than 550 distributors and around 1,000 institutional clients. When we look at geographies, if you exclude the large pool of assets managed for Crédit Agricole Assurances and Sogecap, France now represent only 26% of total AUM. Outside France, we continue growing and diversifying in a large number of countries in Europe and of course in Asia. Our business mix also benefits from stable long-term relationships with our partner networks. This diversification results in limited volatility in term of business activity. This is demonstrated by the fact that Amundi has experienced no net outflows on an annual basis since 2015.
In simple terms, Amundi is able to deliver growth in a more consistent way over time compared to most industry players. Let's now look at our operational efficiency as another source of resilience and competitive advantage. Our objective is to maintain a cost-to-income ratio below 53% after the realization of Lyxor synergies. Our starting point is a 2021 cost-to-income ratio below 51%, again normalized for the exceptional level of performance fees. This increases to 62.5% following the acquisition of Lyxor, which adds around 2% given Lyxor's higher cost base in relative terms. Looking ahead, we have on the one hand our continued investment in talents, our continued investment in IT to support our growth plan, plus the expected impact on inflation.
This element will be offset by further operational leverage and purchasing power, thanks to our scale, as well as the synergies we will realize from the integration of Lyxor, which I will provide more detail on. We firmly believe that this leadership in cost efficiency is a constant source of competitive advantage, especially in a more uncertain economic environment. Naturally, our low cost-to-income ratio reduces the impact of potential negative revenue trends or cost inflation on the bottom line.
Let's look now at shareholder returns, starting with dividend. As we said, our payout ratio will be at least 65%. Based on our projections, this equates to a cumulative dividend of around EUR 3 billion for financial years 2022 to 2025. Beyond our ordinary cash dividend, retained earnings would result in the accumulation of excess capital that can be redeployed for external growth or returned to shareholders.
Based on our current understanding of expected regulatory requirements, we estimate excess capital at the end of 2025 to be around EUR 2 billion. This is calculated as the excess over our managerial target of 10% of common equity tier one ratio. This excess capital represents an additional opportunity to enhance value in terms of earnings growth or in terms of shareholder returns. Amundi has demonstrated ability in delivering growth and enhancing value creation, thanks to our track record of capital redeployment on M&A. Since our IPO in 2015, we have invested around EUR 5 billion on acquisitions, and excess capital financed around 70% of this amount, or around EUR 3.5 billion. Every transaction has strengthened our business model in line with our strategic priorities.
First, the acquisition of Pioneer Investments in 2017 has delivered an estimated return on investment of more than 12%. More importantly, this transaction allow Amundi to create a new distribution partnership with UniCredit and to strengthen our presence and our access to key markets, including Italy, Germany, Austria, and Central Europe. It also allowed us to accelerate our development in third-party distribution and to enhance our capabilities in active management, particularly in multi-asset, in emerging markets or in U.S.-denominated products. Second, the acquisition of Sabadell Asset Management was completed in mid-2020 and has already yielded very compelling result in a short time frame, as highlighted by Valérie. The return on investment at the end of 2021 was already 14%, just 18 months since the acquisition was completed.
The deal had also given us a preferential long-term access to a new banking partner, Banco Sabadell, in the attractive Spanish market. Finally, the acquisition of Lyxor Asset Management. This transaction closed at the end of 2021 and is expected to deliver a return on investment of more than 14%, including revenues and cost synergies. As we have already mentioned, this is a highly strategic transaction given our ambition to become the European leader in passive management. As we are on the topic, let me give you a quick update on the integration of Lyxor. We are very pleased with our progress so far, which confirm both the value creation potential and the strategic importance of this transaction. The majority of teams has been working in the same location since January.
Most of the corporate reorganizations through legal mergers have already been completed, and the new organization has been in place since the beginning of June. IT migrations are proceeding well and will be completed in the next few months. The last important stage of the integration will be the fund range rationalization, which will start at the end of the year and is expected to be finalized by mid-2023. We also confirm our cost synergies target of EUR 60 million to be achieved in 2024, and revenue synergies of EUR 30 million to be achieved in 2025. Together with Lyxor profit contribution, these two elements form the basis of the estimated 14% return on investment for this transaction. While we expect our growth to be mainly organic, there are also, and there will be again, external growth opportunities.
In terms of our priorities for the years to come, we will of course continue first to consider opportunities that enhance distribution, be that access to a new distribution channel, a market or a geography. Second, we would also consider opportunities that reinforce our investment capabilities, as we have demonstrated in passive management. As highlighted by Dominique, real assets is one area where we would like to build on our strong existing platform.
Finally, given our strategic development of technology and services, we may also consider opportunities to accelerate our growth in these areas. We are very flexible in terms of how we achieve these priorities. As in the past, we could consider of course full acquisitions, but also new joint ventures and partnership or strategic minority stakes. The common denominator is our M&A discipline.
First, external growth must act as an accelerator of organic growth in line with our strategic priorities. Second, execution risk must be manageable. Third, any deal must meet our return on investment objective of more than 10% within three years, including synergies. In summary, we will maintain a flexible and pragmatic approach to M&A in order, and as long as, we create additional value. Before I close, I want to share a quick illustration of the potential incremental earnings impact of M&A. We have seen earlier that assuming a broadly neutral market conditions, we expect to organically grow our adjusted net income by 5% per year, reaching out EUR 1.4 billion in 2025. At the same time, we expect to accumulate around EUR 2 billion over the plan horizon. We did the math.
If we had the opportunity to deploy this amount on M&A at the minimum target of return of 10%, we could generate around EUR 200 million of additional earnings. Therefore, either in the form of incremental earnings or in the form of exceptional distribution, shareholders will benefit from the excess capital generated during the plan period. In conclusion, Amundi has a strong track record of delivery, and we are convinced that this will continue thanks to our strong organic growth, both from our asset management business and from new activities.
Second, our resilient and efficient business model. Third, our attractive shareholder returns. Fourth, Amundi's role as a natural consolidator and the option to use M&A to enhance earnings and create value for shareholders. In a nutshell, Amundi gives you growth, resilience, and yield. Thank you for your attention, and let me now hand back to Valérie for some concluding remarks. Thank you.
Thank you, Nicolas. To wrap up, a quick conclusion. Our ambition for Amundi in 2025 is to enhance our global leadership in asset management. Our proven ability to capture the strong organic growth potential across our asset management activities will be strengthened by the strategy we have presented today. We will seize acquisitions opportunities to build on our strong consolidation track record and accelerate our development, and we will continue to generate capital to deliver attractive shareholder returns, both in terms of our payout ratio commitment and through M&A. My conviction is that the journey will be even more successful in the next 10 years than it has been in the last 10. With that, let's open for your questions.