Equity fund flows turn negative as investors shun UK

Calastone Fund Flow index

Equity fund flows have turned negative for the first time in almost a year on the back of outflows from UK strategies, according to Calastone's latest Fund Flow index.

Equity funds saw net outflows of £564m in September as investors sold £666m of assets from UK equity funds, while the UK-heavy equity income sector shed £416m. Meanwhile, other geographically focused fund sectors saw moderate inflows. Flows into European equity funds were muted at just £43m, compared to the £249m monthly average over the previous twelve months, while global equity and US equity funds fared the best, attracting £422m and £413m respectively. Equity fund inflows slump by 75% in August as market turbulence dents investor confidence "There is clearly growing caution ...