By Mathieu Rosemain

PARIS Amundi, Europe's biggest fund manager, posted better-than-expected quarterly net inflows on Friday as investors' appetite for risk-averse products underpinned a 1.9% yearly growth in assets under management.

Uncertainty about the world economy, marked by inflation, speedy hikes in interest rates and geopolitical risks drove retail and institutional investors to safer bets in the form of for treasury funds, structured products and exchange traded funds (ETF), Amundi's second-quarter results showed.

Total assets under management (AUM) at Amundi rose by 3.7 billion euros in the second quarter to 1,961 billion euros ($2.16 trillion), reflecting an increase of 1.9% from a year earlier and a growth of 1.4% from the previous quarter.

This beat the analyst consensus compiled by the company, which predicted a decrease of 1.1 billion euros in three-month period ending in June.

"The depth of our offering and our agility in proposing it to our customers are important assets in uncertain markets such as those we are experiencing today, where investors remain cautious and wait-and-see," Chief Executive Valerie Baudson told reporters in a call.

"Things are probably going to remain relatively stable over the next few months," she added, when asked about the outlook for the second half.

"I don't see any reason for (the situation) to get worse and we don't see any reason for it to get better very suddenly."

Baudson also said that the reopening of China's economy started to have a positive effect on net inflows stemming from its joint venture with Bank of China, leading to "very slightly positive" net inflows in the second quarter.

Amundi's second-quarter earnings also beat expectations, with adjusted net income totaling 320 million euros, up 19% from a year earlier. Adjusted net revenues were up 9.2% to 823 million euros.

($1 = 0.9098 euros)

(Reporting by Mathieu Rosemain; Editing by Conor Humphries)