Uncertainty causes fund sales dive
September 8, 2018

Uncertainty about trade policy and international relations has caused a dive in European net sales of undertakings for collective investment in transferable securities (UCITS) and alternative investment funds (AIFs), according to the European Fund and Asset Management Association (EFAMA)'s latest Quarterly Statistical Release.

Highlights of the developments during the second quarter and first half of 2018 include: 

• UCITS and AIFs recorded net sales of EUR 28 billion in Q2 2018, compared to EUR 222 billion in Q1. 

o Multi-asset funds and other funds registered net inflows of EUR 25 billion and EUR 30 billion, respectively. 

o Equity, bond and money market funds recorded net outflows of EUR 0.3 billion, EUR 7 billion and EUR 19 billion, respectively.

• UCITS registered net sales of EUR 15 billion in Q2 2018, compared to EUR 171 billion in Q1.

o Long-term UCITS, ie UCITS excluding money market funds, recorded net inflows of EUR 33 billion in Q2. Multi-asset and equity funds attracted net sales of EUR 26 billion and EUR 10 billion, respectively. Bond funds experienced net outflows of EUR 1 billion.

o Money market funds recorded net outflows of EUR 18 billion, compared to net outflows of EUR 2 billion in Q1 2018.

• AIF net sales amounted to EUR 12 billion in Q2 2018, down from EUR 52 billion in Q1. 

o Equity funds, bond funds and multi-asset funds recorded net outflows of EUR 10 billion, EUR 6 billion and EUR 1 billion, respectively. 

o Other funds and real estate funds registered net inflows of EUR 21 billion and EUR 11 billion, respectively.

• Total European investment fund net assets increased by 1.6 percent in Q2 2018 to reach EUR 15,788 billion at end June. 

o Net assets of UCITS increased by 1.5 percent to EUR 9,824 billion.

o Net assets of AIF increased by 1.6 percent to EUR 5,965 billion.

• During the first half of 2018, UCITS and AIF attracted net sales of EUR 250 billion, compared to EUR 514 billion in the same period last year.

o UCITS attracted EUR 186 billion in net new money, compared to EUR 379 billion in the first half of 2017. 

o AIF attracted EUR 64 billion in net new money, compared to EUR 135 billion in the first half of 2017. 

Bernard Delbecque, Senior Director for Economics and Research, commented: "Following a good start to the year, net sales of UCITS and AIF plunged during the second quarter as a result of growing volatility in the financial markets and increased uncertainty and concerns about trade policy and international relations." 





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Uncertainty about trade policy and international relations has caused a dive in European net sales of undertakings for collective investment in transferable securities (UCITS) and alternative investment funds (AIFs), according to the European Fund and Asset Management Association (EFAMA)'s latest Quarterly Statistical Release.

Highlights of the developments during the second quarter and first half of 2018 include: 

• UCITS and AIFs recorded net sales of EUR 28 billion in Q2 2018, compared to EUR 222 billion in Q1. 

o Multi-asset funds and other funds registered net inflows of EUR 25 billion and EUR 30 billion, respectively. 

o Equity, bond and money market funds recorded net outflows of EUR 0.3 billion, EUR 7 billion and EUR 19 billion, respectively.

• UCITS registered net sales of EUR 15 billion in Q2 2018, compared to EUR 171 billion in Q1.

o Long-term UCITS, ie UCITS excluding money market funds, recorded net inflows of EUR 33 billion in Q2. Multi-asset and equity funds attracted net sales of EUR 26 billion and EUR 10 billion, respectively. Bond funds experienced net outflows of EUR 1 billion.

o Money market funds recorded net outflows of EUR 18 billion, compared to net outflows of EUR 2 billion in Q1 2018.

• AIF net sales amounted to EUR 12 billion in Q2 2018, down from EUR 52 billion in Q1. 

o Equity funds, bond funds and multi-asset funds recorded net outflows of EUR 10 billion, EUR 6 billion and EUR 1 billion, respectively. 

o Other funds and real estate funds registered net inflows of EUR 21 billion and EUR 11 billion, respectively.

• Total European investment fund net assets increased by 1.6 percent in Q2 2018 to reach EUR 15,788 billion at end June. 

o Net assets of UCITS increased by 1.5 percent to EUR 9,824 billion.

o Net assets of AIF increased by 1.6 percent to EUR 5,965 billion.

• During the first half of 2018, UCITS and AIF attracted net sales of EUR 250 billion, compared to EUR 514 billion in the same period last year.

o UCITS attracted EUR 186 billion in net new money, compared to EUR 379 billion in the first half of 2017. 

o AIF attracted EUR 64 billion in net new money, compared to EUR 135 billion in the first half of 2017. 

Bernard Delbecque, Senior Director for Economics and Research, commented: "Following a good start to the year, net sales of UCITS and AIF plunged during the second quarter as a result of growing volatility in the financial markets and increased uncertainty and concerns about trade policy and international relations." 



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