The latest Lipper Fund Flash report shows long-term fund sales hit a 23-month high in September as inflows reached €28.9bn, excluding money market products.
Bond funds attracted €21.6bn in flows over September, marking the third consecutive month where inflows have been above €20bn. High-yield portfolios took €7.6bn.
Lipper added “While this month’s story was still very much a bond affair, the previous villain of the piece – equity funds – returned to positive territory for the first time since March.”
Equity fund witnessed net sales of €4.6bn, of which €1.47bn related to exchange-traded funds. A large amount of inflows went to Global Dividend funds, especially those offered by Pimco, DWS and M&G.
“The more surprising story was the revival of interest in pan-European and Euroland equities [with net sales of €3.1bn], with Threadneedle European Select, BlackRock EuroMarkets and MainFirst Top European Ideas funds the main beneficiaries,” the report said.
Lipper also highlighted the “healthy flows” into multi-asset funds as evidence of increased willingness to invest in September. The inflow of €3.8bn was the sector’s highest since February last year, with asset allocation funds dominating flows.