Worldwide fund sales calculations by the European Fund and Asset Management Association (EFAMA) revealed net inflows into bond funds were just €107bn (£92.5bn) in the quarter, 57.7% lower than the €253bn (£219bn) of sales seen the previous quarter.
The bond fund lull came as equity funds sold heavily in the final quarter of 2016, with net inflows of €114bn (£98.5bn) almost tripling sales of just €40bn (£34.6bn) seen the previous quarter.
The turnaround in fortunes for the two major asset classes came amid markets dominated by the response to the election of Donald Trump as President of the US.
Bond yields rose and yield curves steepened globally in anticipation of reflation, driven by expectations businesses would benefit from a more supportive, deregulated environment under the Republican leader’s control.
