Inflows to equity funds surged to £2.4bn in December, according to the latest Fund Flow Index from Calastone, the largest global funds network. This was the second-best month on record and took the Q4 total to £4.6bn, its highest since mid-2015. For the whole of 2020, equity inflows were £7.5bn, almost four times as great as in 2019.
Latest in from our Fund Flow Index: Vaccine optimism sees equity fund inflows surge to 5-year high in Q4. VIEW: https://t.co/3DINbXQzxQ pic.twitter.com/VT3gVmHPbR
— Calastone (@CalastoneLtd) January 13, 2021
Inflows to equity funds surged to £2.4bn in December. This was the second-best month on record and took the Q4 total to £4.6bn, its highest since mid-2015. For the whole of 2020, equity inflows were £7.5bn, almost four times as great as in 2019.
Key highlights from this month’s FFI:
- Equity funds enjoyed £4.6bn of inflows in Q4, the highest since 2015; December was the second-best month on record for equity funds
- 2020 ended with a sharp improvement for active funds in particular – December inflows were the best in five years
- Investor appetite for ESG, global, North American and European funds boosted active equity fund flows
- But index fund flows comfortably beat active fund flows over the course of the whole year
- By contrast with other regions, funds focused on UK equities were firmly out of favour with investors – Brexit and the pandemic caused sharp outflows in the second half of the year
- UK-focused funds did receive a last-minute boost in late December thanks to the Brexit trade deal
- ESG funds went mainstream in 2020 and accounted for more than half of all the flows into equity funds for the year
Source: Calastone
NEWSLETTER SIGN UP
And receive exclusive articles on securities markets
As Technology Evolves, Asset Managers Adapt and Innovate
Citi Changes Organizational Structure
SEC Charges Virtu for Disclosures Relating to Information Barriers
ICE Futures Singapore Partners with CoinDesk Indices
Related articles
-
Total origination of $222bn in 2024 doubled from the previous year.
-
The fee reductions are expected to save investors more than $350m this year alone.
-
Investors in tokenized treasuries from partner issuers can redeem their assets against stablecoins.
-
Morgan Stanley Pathway Large Cap Equity ETF gathered the largest individual net inflow.
-
Active ETFs are establishing themselves in the European market.