Not including money market funds, European fund flows in May were €13.2bn (£11.8bn) compared to €26.6bn (£23.6bn) in April. With money markets included, total sales amounted to €22.7bn.
The biggest losses of the month were equity fund managers with outflows of €215m although the sales of equity exchange-traded funds saw this figure back in the black to the tune of €2bn. This compares with equity inflows in April of €13.4bn.
For the fifth consecutive month, bond sales improved, rising from €7.7bn to €8.5bn, though was less reliant on high yield bonds than previously. High yields added €2.7bn in May to take its annual total to €21.6bn.
Elsewhere, global bonds attracted €3.3bn and emerging market bonds continued their revival with another €2.2bn.
The huge flows into money market funds (€9.6bn) clearly demonstrate investors’ equity aversion and represent a nine-month high.
Looking at alternative assets, commodity funds saw €450m of new money while raw materials dropped into negative territory of €180m. Their year-to-date totals are €4.2bn and €4.3bn respectively.
