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

Cash and bond funds surge in popularity post-Brexit

0
Written by: Adam Lewis
29/07/2016
Nervous investor sentiment in the wake of last month’s Brexit vote led to a surge in the buying of Money Market and Short Term Money Market funds.

The two money market sectors lead the charts in terms of adviser sales in June according to the latest FundsNetwork data, with the Fidelity Cash and the BlackRock Cash appearing in the bestsellers list.

Fixed income funds also saw a spike in popularity, with the Sterling Corporate Bond sector, the third most popular peer group in the month.

Indeed the five top selling sectors for the month were all money market and bond related, with Japan – in sixth place – the most popular equity sector. Alongside Japan, the Global Emerging Markets sector was the only other pure equity sector that made the top 10, with Targeted Absolute Return – in which underlying funds invest in a mix of assets – coming in at 10th.

Danny Wynn, head of fund partners for Fidelity International, said: ““With uncertainty gripping investor sentiment leading up to and following the Brexit vote, we unsurprisingly saw investors taking risk off the table by either seeking the relative safety offered by bonds or temporarily sheltering their money in cash instruments.

“With nobody exactly sure what is going to happen next and further uncertainty on the cards, we expect to see investors maintain a relatively cautious approach in the coming months, with advisers and their clients likely to continue to diversify across geographical regions and asset classes.”

The most popular individual fund purchased by advisers and through an ISA was Terry Smith’s Fundsmith Equity fund.

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.

Coronavirus and your finances: what help can you get?

News and updates on everything to do with coronavirus and your personal finances.

Everything you need to know about being furloughed

If you’ve been ‘furloughed’ by your company, here’s what it means…

The savings accounts paying the most interest

If one of your jobs this month is to get your finances in order, moving your savings to a higher paying deal i...

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.

Having a baby and your finances: seven top tips

We’re guessing the Duchess of Cambridge won’t be fretting about maternity pay or whether she’ll still be...

Protecting family wealth: 10 tips for cutting inheritance tax

Inheritance tax - sometimes known as 'death tax' - can cause even more heartache for bereaved families. But th...

Travel insurance: Five tips to ensure a successful claim

Ahead of your summer holiday, it’s important to make sure you have the right level of travel cover or you co...

Money Tips of the Week

Read previous post:
Switching telecom provider? New supplier to handle entire move under Ofcom proposals

Customers switching landline, broadband and pay TV services should be able to do so with greater ease under proposals announced...

Close