UK retail investors increased their investment in bonds in July, as they continued to seek relative safety, figures show.
They put £1.8 billion (€2.02 billion) into bond funds during the month, making bonds the best-selling asset class according to the latest Investment Association data.
July was the third consecutive month that inflows into the sector nearly hit the £2 billion mark.
Funds investing in the stock market, however, saw UK savers pulling out net £609 million. This was primarily driven by outflows from UK equities.
The study found that the only other equity region which saw outflows was Japan, while everywhere else was safely in the black. Asian equities were most favoured amongst retail investors, seeing £253 million of inflows.
Yet again, responsible investment funds experienced strong net retail sales, with UK savers investing £966 million in July.
Tracker funds also saw net retail inflows to the tune of £1.4 billion.
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