Bringing you live news and features since 2013
Bringing you news, views and analysis since 2013

9845

Long-term funds see best flows in 16 months

RELATED TOPICS​

Flows of EUR28.7bn into long-term funds across Europe (excluding money market products) in February were the best for 16 months and the second best since April 2010, according to Ed Moisson (pictured), Head of UK & Cross-Border Research at Lipper.

Moisson’s leaves Lipper Fund Flash report says: “This reflected not only the greatest sales of bond funds (EUR19.5bn) since July 2005 — most notably high yield bonds reaching EUR6.5bn and beating last month’s all-time high — but also a 50% increase in equity fund sales (EUR6.3bn).

“Among equity funds, emerging market interest spread beyond global products (EUR2.3bn) into Asia Pacific (EUR1.4bn) and country-specific funds — most notably Russia and India (with EUR460m and EUR360m respectively). While global equity fund sales looked most impressive (EUR3.3bn) more than EUR1bn of this related to three new launches.

“The fact that inflows for the European industry as a whole (EUR16.3bn) were well down on January’s total (EUR31.1bn), is a result of the largest February withdrawals from cross- border money market funds over the past ten years. This is another sign that money is coming off the sidelines to find a longer-term home. Redemptions from cross-border money market funds totalled EUR13.4bn, while the European total was EUR12.4bn of redemptions, resulting from inflows of EUR6.7bn into these products in France.

“The International fund market (cross-border funds) accounted for 86% of inflows into Europe’s long-term funds, again forming the bedrock of activity for the industry as a whole. When looking for signs of a broader European revival of investor appetite, encouragingly local German sales activity has reached a 15-month high (EUR1.1bn), although equity funds are yet to find favour in this market.

“By contrast, the equity revival strengthened in the UK, with the first month of inflows (EUR360m) since June, although bond and mixed asset funds remain the most popular. The start to the year has been healthier in 2012 (EUR4.4bn) than in 2011 (EUR2.4bn).”

 

Latest News

EFAMA has commented on today’s vote by the European Parliament in favour of a new..
Morgan Stanley Investment Management (MSIM) has announced the launch of the MS INVF Systematic Liquid..
Confidence in the continuing strength of bitcoin and Ethereum is driving wider interest in altcoins..

Related Articles

Juan Nozal, Mapfre Asset Management
Juan Nozal, Fixed Income Portfolio Manager at MAPFRE Asset Management, talks about the outlook for fixed income assets over 2024, in what he predicts will be an outstanding year for this asset class...
Juan Nozal, Fixed Income Portfolio Manager at MAPFRE Asset Management, talks about the outlook for fixed income assets over 2024,..
n response to the increased attention to climate change risk, institutional investors, asset managers, and asset owners in the US are committed to implementing a variety of measures to address climate change and reach their net-zero goals, according to Cerulli Associates...
n response to the increased attention to climate change risk, institutional investors, asset managers, and asset owners in the US..
Lord Hollick, House of Lords
A House of Lords committee has raised “significant concerns” over the role of UK regulators, their ability to operate with genuine independence from government and how they are held to account...
A House of Lords committee has raised “significant concerns” over the role of UK regulators, their ability to operate with..
Rob Edwards, Morningstar
The complexities of assessing performance from responsible investment strategies have been laid bare after Morningstar’s ESG indices delivered a mixed bag in 2023...
The complexities of assessing performance from responsible investment strategies have been laid bare after Morningstar’s ESG indices delivered a mixed..
Subscribe to the Institutional Asset Manager newsletter

Subscribe for access to our weekly newsletter, newsletter archive, updates on the site and exclusive email content.

Marketing by