Sovereign debt crisis takes its toll as investors turn away from Europe

Peer group sees £8.5m outflow in May as three-year numbers disappoint, but average fund up 20.7% over one year

European markets have suffered from a good deal of volatility in the wake of the eurozone debt crisis, and, perhaps unsurprisingly, there has been a reduction in asset allocation to the IMA Europe including UK sector, culminating in a £8.5m net outflow in May. However, according to Morningstar, the average vehicle in the IMA Europe including UK sector is up 20.7% over 12 months to 19 July. This is a significant improvement compared to the three-year view, which shows a decrease of 15.7%. SVM All Europe SRI is the top performer over one year, up 32.8%. The worst performer over one year...