Investments  

UK growth funds top IMA sales for first time since 2004

Investors ploughed money into UK equity funds in October as the IMA UK All Companies sector was the best selling sector, according to data from the IMA.

Equity funds once again outsold all other asset classes for the seventh consecutive month, led by UK funds.

In October the IMA UK All Companies sector, which has been one of the lowest-selling sectors in recent years, attracted the most money for the first time since April 2004.

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By contrast, the IMA UK Equity Income sector, which had been the top-selling sector in September, was the worst selling sector in October.

The net retail outflow of £298m from the equity income sector came following the announcement that Neil Woodford was set to resign from Invesco Perpetual, which has led to outflows from his £9.3bn Income fund in particular.

The IMA data also found that tracker funds experienced their best ever month for sales, bringing in £448m, which was a significant portion of the £1.9bn net retail sales for all funds during October.

Daniel Godfrey, chief executive of the IMA, said it was another “strong” month for fund sales and said that with £9.1bn flowing into equity funds so far this year, the asset class was on track for its best year since 2000.