Bonds continue to dominate European fund flows

According to the latest numbers from Lipper, bond funds continue to see strong inflows.

Bonds continue to dominate European fund flows
1 minute

Bond funds continued to see strong demand, taking in half of the flows over the month, Detlef Glow, head of EMEA research at Lipper said, while equity funds and mixed-asset products brought in £9.6bn (€12bn) and £8.8bn (€11bn).

The positive trends seen at the top of the scale also filtered through to demand for commodities, alternative/hedge funds and property funds.

According to Glow, in the long-term funds data, asset allocation products fared best, with inflows of £5.4bn (€6.7bn), while emerging market bonds saw inflows of £3.1bn (€3.8bn), closely followed by inflows into flexible bonds which came in at £2.8bn (€3.5bn).

Judging from the preliminary data for May, Glow said, early indicators are that bond funds remain in favour with European investors.

“Looking at Luxembourg- and Ireland-domiciled funds, bond funds – with projected net inflows of around £9.3bn (€11.6bn) – might be the best selling asset class for May.”

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