Investors recently returned to UK equity funds after two years away, according to latest available data for May.
Equity fund inflows were a net £532 million (€593 million) during the month – the first net inflows into these funds since April 2017.
Yet overall equities sales remained weak, the Investment Association data showed. Europe and Asia saw significant equities outflows as the ripple effect of ongoing trade tensions between the US and China took its toll.
Asia equity funds saw net retail outflows of £46 million, followed by Japan funds which experienced net retail outflows of £256 million.
The highest selling asset class for May was fixed income with net sales of £771 million – making it the best-selling class for the third month in a row.
Mixed asset came second with inflows of £585 million, followed by money market funds with £306 million, among members of the UK asset management trade body.
The worst-selling Investment Association sector in May was Targeted Absolute Return with an outflow of £505 million.
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