You are here: Home - Investing - Experienced Investor - News -

Fund sales show investors remain cautious

Written by:
Investors remained in cautious mode in September, buying into funds with a diversified approach and shunning UK equity products.

Mixed asset funds were the top sellers of the month, with sales of £374m, according to figures from the Investment Association, the trade body for the fund industry.

Riskier equity funds, meanwhile, saw outflows of £333m. While global equity products attracted £447m, UK equity funds saw outflows of £620m.

Adrian Lowcock, investment director at Architas, said: “In September there was a lot of uncertainty surrounding markets and little direction on where the best opportunities were. This is reflected in the Investment Association’s figures showing investors looking for a more diversified approach through mixed asset and global equity funds.

“In times of uncertainty it is particularly useful for investors to be in funds where the managers are able to switch between asset classes and have the information and expertise at hand to make those decisions.”

With sales of £117m, property funds were the third best-selling asset class as investors returned to the sector reversing the exodus that followed the EU referendum vote.

Fixed income funds saw inflows of £100m.

Alastair Wainwright, fund market specialist at the Investment Association, said: “Caution was again evident in September as investors moved out of equity funds in favour of arguably less risky mixed asset and money market funds.

“Money market funds experienced their second best-selling month on record at £297m. Property fund sales were positive in September as advised and un-advised retail customers bought into the sector, however discretionary fund managers continued to reduce their holdings in property funds.”

There are 0 Comment(s)

If you wish to comment without signing in, click your cursor in the top box and tick the 'Sign in as a guest' box at the bottom.

Your right to a refund if travel is affected by train strikes

There have been a wave of train strikes in the past six months, and for anyone travelling today Friday 3 Febru...

Could you save money with a social broadband tariff?

Two-thirds of low-income households are unaware they could be saving on broadband, according to Uswitch.

How to help others and donate to food banks this winter

This winter is expected to be the most challenging yet for the food bank network as soaring costs push more pe...

What will happen if rates change

How your finances will be impacted by a rise in interest rates.

Regular Savings Calculator

Small regular contributions can build up nicely over time.

Online Savings Calculator

Work out how your online savings can build over time.

DIY investors: 10 common mistakes to avoid

For those without the help and experience of an adviser, here are 10 common DIY investor mistakes to avoid.

Mortgage down-valuations: Tips to avoid pulling out of a house sale

Down-valuations are on the rise. So, what does it mean for home buyers, and what can you do?

Five tips for surviving a bear market mauling

The S&P 500 has slipped into bear market territory and for UK investors, the FTSE 250 is also on the edge. Her...

Money Tips of the Week