In May, equity fund inflows fell to their lowest level since November 2023, while fixed-income and mixed-asset funds saw outflows. Meanwhile, safe-haven money-market funds absorbed cash as investors switched out of these two asset classes.
Key highlights from this month's FFI:
- Equity fund inflows fell to £775m in May – two thirds lower than the January to April average
- North American inflows fell sharply – but May still numbered among the sector’s best months
- UK-focused equity funds saw second-highest outflows on record in May - £1.11bn
- Fixed income – May was the second-worst month for bond fund outflows on record
- Safe-haven money market funds absorbed cash
- Outflows from mixed-asset funds resumed after brief ISA-season hiatus
- ESG equity funds enjoyed fifth consecutive month of inflows – but buying momentum is fading