Equities beat bond sales for first time in 12 months

Equities have replaced bonds as the best-selling asset class for the first time in 12 months, according to the IMA

Equities was the leading asset class in September 2012 with net retail sales of £541m – well above its average over the past 12 months: monthly outflows of £65m.

By contrast, fixed income was the second best-selling asset class with net retail sales of £320m, the lowest figure since the asset class recorded £317m net retail sales in September 2011.

Total net retail fund sales of £1.1bn were reported during September, after outflows hit sales in August with just £34.8m generated in the retail channel. Funds under management in September 2012 increased to £629bn, from £620bn in August.

The Absolute Return sector was the best-selling sector in September 2012 with net retail sales of £193m.

Strategic Bonds and Global Emerging Markets were the second and third bestsellers with sales of £144m and £139m, respectively. Global Equity Income was the fourth most popular sector with net sales of £137m, while UK Equity Income was the fifth best-selling sector with sales of £134m.

UK All Companies was the worst-selling sector with a net outflow of £206m in September 2012, making it the worst-selling sector for eight out of the past 12 months.

The IMA also revealed the third net outflow of the second half for Isa sales during September, with outflows of £48.9m, although this represented a slowdown in outflows from the £140.8m reported in August.