Money market funds stand as sole asset class with net inflows in 2023

Morningstar UK Fund Flows

Money market funds were the only asset class to receive net inflows last year, with equity funds surpassing 2022’s redemptions, with a total £18bn outflows.

According to Morningstar's latest UK Fund Flows report, money market funds attracted over £4bn inflows last year, taking in £248m in December alone.  By comparison, equity funds suffered almost £3.5bn more redemptions in 2023 than the prior year, and failed to record a single month of net inflows, with £668m withdrawn in December.  Fixed income funds shed £826m in December, raising the total to £254m of net outflows in 2023, while Morningstar's ‘Allocation' category saw £507m outflows last month, for a total £7.8bn for the year.  Morningstar: Over 60% of active bond managers outper...