UK savers invested £1.4bn in retail funds during February, according to new figures published by the Investment Association (IA).

The latest numbers revealed that net retail sales had held stable at £1.4bn in February, while mixed asset funds were the best-selling asset class during the month, with £711m in net retail sales.

Volatility Managed was the best selling IA sector in February, with £888m in net retail sales, while Mixed Investment 40-85% Shares was second, with net retail sales of £355m. IA added that £ Corporate Bond followed with net retail sales of £295m, UK Gilts was fourth with £247m, and Global, with £206m, completed the top five.

The latest figures revealed the worst-selling IA sector in February was £ Strategic Bond, with an outflow of £664m.

IA chief executive, Chris Cummings, said: “Despite the growing global impact of coronavirus on economic activity, February in the fund market didn’t reveal any dents in investor confidence, as savers put £1.4bn into funds across the month.

“However, caution was definitely in the air and savers top preference was for diversified funds, with Mixed Asset funds attracting £711m.

“Few in February could have predicted the impact of a spate of lockdowns on global capital markets, or the extraordinary raft of measures from governments and central banks to help shore up economies around the world. It remains to be seen just how significantly steep market falls have affected investor behaviour in March.”

Share Story: