Vanguard funds top on Alliance Trust platform
Passive vehicles account for five of top 10 most popular funds while investor appetite for low-cost funds highlighted by report
Four Vanguard funds made the top 10 list of funds bought on the Alliance Trust platform, the broker has reported today.
The list, based on gross inflows in the first half of 2012, showed a strong interest in passive vehicles.
The Vanguard FTSE UK Equity Index fund and the Vanguard FTSE Developed World Ex UK Equity Index fund took the top two positions.
Five of the top 10 most popular funds purchased on the Alliance Trust ‘i.nvest’ platform were tracker funds, which it attributed to the popularity of low-cost funds.
Other tracker funds in the ranking include the L&G UK Index Trust, Vanguard’s US Equity Index and Vanguard’s FTSE UK Equity Income Index.
Garry Mcluckie, marketing director at Alliance Trust Savings, said, “The latest list of most popular funds on our platform shows just how attractive low-cost funds currently are to investors.”
He picked up on the popularity of Vanguard funds, highlighting their management charges that are as low as 0.15%.
“Vanguard funds top the list of investments during the first half of 2012 and one major advantage of investing in the Vanguard range is that we don’t set minimum purchase levels that are an obvious barrier to entry on other platforms,” Mcluckie said.
Investors also showed an appetite for income bond funds, he added.