Britain’s resurgence in investing since record outflows in March continued again in May as £4.7bn was invested into retail funds.
Data from the Investment Association shows that during the April and March – £8.7bn has been ploughed into retail funds, following a record of £10bn outflows in March due to the immediate uncertainty of the pandemic. Some serious ground has been gained.
For the month of May, Fixed Income and Equity were the two best selling asset-classes. Bond funds saw £1.9bn of sales (double that of April). Equity funds were hot on its heels, recording inflows of £1.6bn.
Global was the best selling equity fund by region at £740m .
This was swiftly followed by North America funds of £715m and UK funds of £422m. All other regions saw outflows. The £715m invested into North America funds is particularly interesting, given that it saw £35m of outflows in April – suggesting investors have greater confidence in the region as the dust began to settle.
“It was steady as she goes for the fund market in May, as net retail sales continued their stable recovery after significant outflows in March.Chris Cummings, CEO, the Investment Association
Investments into responsible investment funds also sustained their momentum – £911m was invested during the month of May and total funds under management stand at £31bn, representing 2.5% of the total funds under management.