Money market fund sales surged in October as equity fund sales plummeted.
Lipper data for October shows that money market funds gained a net €29.4 billion during the month, while equity funds lost €3.5 billion to redemptions.
Mixed asset funds were the best selling types of funds outside of money market funds.
The dash to money markets reflected patterns by global fund managers who have held high levels of cash recently, particularly in September when cash levels rose to their highest levels since 2001.
Detleff Glow, head of Europe, Middle East and Africa research at Lipper, said October showed a “slightly positive” picture for the European funds industry as equity funds were the only category to see redemptions.
Mixed asset funds were the highest selling “long-term” fund type, which excludes money markets, with €4.6 billion of inflows. Aviva Investors Multi-Strategy Target Return 8 Acc sold the most, with €1.1 billion of net inflows.
However, Amundi was the best selling overall fund promoter with net sales of €8.6 billion.
Amundi’s success reflected the fact that France, where the firm is based, had the strongest sales in Europe in October at nearly €28 billion – well above the next best, Ireland, with €4.4 billion – albeit that sales were driven mainly by money market products.
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