Corporate Bonds go top

Funds in the Sterling Corporate Bond sector experienced the highest inflows in November as investors continues to favour credit.

Monthly figures from the Investment Management Association (IMA) shows Sterling Corporate Bond was the most popular UK-domiciled net retail sector with inflows of £340m. The last time this sector was at the top was in March 2008. In October UK Gilts was the best-selling sector.

The Specialist sector saw net outflows of £101m, the largest outgoing amount as investors continued to shed their property fund holdings. Property funds saw outflows of £140m but this was offset by commodity funds which took in £40m as investors seek to take advantage of the reductions in asset prices. The sector was also the most unpopular in October despite being the best selling sector in January and February 2008.

Funds under management in UK domiciled funds remained broadly level with the previous month with £338.3 billion. However, this was 27% lower than in November 2007.