After seeing an outflow of £243m in April, global emerging markets (GEM) funds proved more popular in May according to the latest monthly statistics from the Investment Management Association (IMA).
In May, GEM funds saw a net retail inflow of £77.5m, while Asia Pacific (ex Japan) funds saw an inflow of £263.7m (up from £230m in April). Overall net retail sales of British-domiciled funds hit £2.8 billion in May, up from £643 in the same month last year, and up from £2 billion in April, according to the Investment Management Association (IMA).
Of this £2.8 billion, £1.3 billion flowed into bond funds, which the Corporate Bond sector seeing an inflow of nearly £718m. This is the seventh month in a row the sector was the most popular with investors.
Equity funds saw an inflow £984m, while the peer group with the biggest outflows for the month was the Unclassified sector which saw an outflow of £66.6m.
Funds under management of British-domiciled funds rose 4% compared with last month to £391 billion, but remain 14% off the £454 billion they stood at in May 2008.