Equities finish strong in 2012

The latest figures from the Investment Management Association (IMA) show that equity funds outsold fixed income in each of the last four months of 2012.

Fixed income funds were the most popular asset class for the year as a whole, with net retail sales of £5.6 billion in 2012.

Overall net retail sales of investment funds in last year were £13.7 billion, down from £18.1 billion in 2011.

Despite this fall in new investments, total funds under management reached a record £658 billion, rising by over £80 billion since December 2011, growing by 14%.

Commenting on the figures, IMA Chief Executive Daniel Godfrey said:

“Fixed income funds attracted most retail money in 2012, the fifth consecutive year in which fixed income funds outsold equity funds. However, there was a clear shift in investor behaviour towards the end of 2012 with equity funds taking more money than fixed income funds every month from September to December.”

Could these latest figures suggest a long-awaited return to risk assets by investors?

Photo credit: Flickr/MikeSchinkel