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14 September 2011

EFAMA: Equity funds avoid sell-off from investors in July despite market fear


EFAMA has published its latest Investment Fund Industry Fact Sheet, which provides investment sales and asset data for July 2011.

23 associations representing more than 97 per cent of total UCITS and non-UCITS assets at end July 2011 provided EFAMA with net sales and/or net assets data. The main developments in July 2011 in the reporting countries can be summarised as follows:

  • UCITS registered net outflows in July of €14 billion, compared to net outflows of €29 billion in June. This reduction in the level of net outflows is on account of reduced net outflows from money market funds and an increase in the net sales of bond funds.
  • Long-term UCITS (UCITS excluding money market funds) enjoyed an increase in net inflows in July to €11 billion, up from €7 billion in June.
    • Bond funds enjoyed a jump in net inflows to €6 billion from breakeven point in June.
    • Balanced funds continued to record net sales, albeit at a reduced level of €3 billion compared to €6 billion in the previous month.
    • Equity funds experienced reduced net outflows during the month of €1 billion, compared to €3 billion in June.
  • Money market funds continued to record large net outflows in July. Net withdrawals amounted to €25 billion during the month, compared to outflows of €36 billion in June.
  • Total non-UCITS net sales reduced from €8 billion in June to record net inflows of €6 billion in July.
  • Special funds (funds reserved to institutional investors) saw net inflows remain steady in July, attracting inflows of €6 billion. However, real estate funds registered a drop in net inflows from €3 billion in June to breakeven point in July.
  • Total assets of UCITS amounted to €5,780 billion at end July 2011, an increase of 0.1 per cent since end June.
  • Total assets of non-UCITS increased by 0.9 per cent in July to stand at €2,105 billion.

Bernard Delbecque, Director of Economics and Research at EFAMA, said: “Negative surprises regarding the pace of global economic growth prompted caution amongst investors and flows into bond funds. Despite these developments and the decline in stock prices, equity funds managed to avoid a sell-off from investors in July.”

Press release



© EFAMA - European Fund and Asset Management Association


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