European investment funds attracted strong inflows across all Ucits categories in Q1 2025, signalling investor resilience despite tariff and geopolitical uncertainties, according to the European Fund and Asset Management Association (Efama).
According to trade body Efama’s European Quarterly Statistical Release published on 11 June, Ucits and alternative investment funds ( AIFs) together registered €217 billion in net inflows, a dip from €238 billion in the previous quarter. Ucits accounted for the bulk of this, bringing in €213 billion, while inflows into AIFs slowed to €4 billion—down from €21 billion in Q4 2024.
Long-term Ucits funds saw interest, drawing in €179 billion across all categories. Bond funds remained the top-selling asset class with €75 billion in inflows, according to Efama’s data, though slightly below Q4’s €91 billion.
Ucits continued to attract strong investor demand in February: Efama
Equity funds attracted €64 billion, up from €60 billion, while multi-asset funds rebounded with €20 billion in net inflows—nearly triple the previous quarter.
Ucits ETFs recorded €100 billion in net inflows, showing investors’ sustained appetite for low-cost, liquid and transparent vehicles amid market volatility, shared Efama.
In the sustainable funds category, long-term Sustainable Finance Disclosure Regulation Article 8 funds brought in €42.6 billion in new money, while Article 9 funds marked their sixth consecutive quarter of outflows, with net redemptions totalling €7.9 billion.
Despite overall net asset values falling by 1.1% to €23.2 trillion, European households remained active investors. Fund acquisitions by households reached €79 billion in Q4 2024, the second-highest level since mid-2021, led by strong demand in Germany, Spain and Italy.
