Fidelity Cash fund top pick as advisers go defensive

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The Fidelity Cash fund has been the most popular product for advisers in March as defensive assets rise in popularity with strong demand for the Short Term Money Market and UK Money Market sectors.

While Mixed Investment 40-85% Shares was the most popular sector, the two money market sectors were second and fourth most popular respectively. Global was the third most popular sector.

Following the Fidelity Cash fund, the Lindsell Train UK Equity and Vanguard LifeStrategy 60% Equity funds were the next most popular picks.

FundsNetwork head of sales Paul Richards says: “With March witnessing the triggering of Article 50, it’s perhaps no surprise that many investors adopted an increasingly cautious stance in March.

“This is reflected in our sales data, which showed that investors continued to allocate heavily to more defensive assets such as multi asset funds and even cash instruments. 

Richards adds that Theresa May’s snap election and the second round of French elections next month means there’s no shortage of political risks for investors to navigate through this year.

“With this in mind, it’s likely that we will continue to see increased demand for defensive assets throughout the remainder of this year.”

 

Top 10 adviser sales by fund via FundsNetwork

Rank

Fund Name

1

Fidelity Cash Fund

2

CF Lindsell Train UK Equity Fund

3

Vanguard LifeStrategy 60% Equity

4

Fundsmith Equity Fund

5

Evenlode Income

6

Vanguard LifeStrategy 40% Equity

7

Artemis Monthly Distribution

8

CF Woodford Income Focus Fund

9

Schroder Asian Alpha Plus Fund

10

Vanguard LifeStrategy 80% Equity

 

  Top 10 adviser sales by sector via FundsNetwork

 

Rank

Sector Name

1

Mixed Investment 40-85% Shares

2

Short Term Money Market

3

Global

4

UK Money Market

5

Mixed Investment 0-35% Shares

6

Mixed Investment 20-60% Shares

7

£ Corporate Bond

8

£ Strategic Bond

9

Global Emerging Markets

10

Global Bonds