By Mathieu Rosemain

PARIS (Reuters) - Amundi, Europe's biggest fund manager, posted in-line quarterly inflows on Wednesday, driven by sustained demand for risk-averse products and its Asian operations.

Net inflows in the third quarter were 2.9 billion euros, bringing total assets under management (AUM) to 2.19 trillion euros at end of September, up 11.1% from a year earlier.

The relatively low amount of net inflows in the third quarter compared with previous quarters stemmed from the loss of a mandate of a large European insurance client, Amundi said.

Analysts had expected net inflows of 2.3 billion euros on average, a consensus compiled by Amundi showed.

Demand for safe investments such as medium and long-term assets through exchange-traded funds and exchange-traded commodities (ETFs and ETCs) brought 7.8 billion euros of net inflows, offsetting an outflow of 7.1 billion euros in active management, driven by equity and multi-asset products.

"On passive management, the market momentum ... is particularly positive for Amundi in the third quarter and for the year as a whole," Chief Executive Valerie Baudson said in a call with reporters.

Amundi's Asian operations, notably its joint venture in India, and third-party distributors also contributed to net inflows.

The last quarter was marked by the announcement of the planned acquisition of AXA's asset management arm by BNP Paribas. Amundi was among the rival bidders, people with knowledge with the matter have told Reuters.

News of the tie-up has fueled prospects for more deals in the sector. Most recently, Germany's biggest insurer, Allianz, has been weighing options for its Allianz Global Investors unit, sources close to the matter told Reuters last week.

"I won't be commenting on market rumors and the Allianz issue," Baudson said when asked if such a deal would draw Amundi's interest.

Amundi remains open to acquisitions, provided the would-be targets meet strict return-on-investment criteria, she added.

Amundi, which is controlled by French bank Credit Agricole, posted growth of 16.1% in third-quarter adjusted net income to 337 million euros, in line with the 333 million-euro estimate expected by analysts. Revenue over the period rose 10.5% to 862 million euros.

($1 = 0.9261 euro)

(Reporting by Mathieu Rosemain in Paris; Editing by Matthew Lewis)