Ucits recorded net outflows of EUR10bn in September, compared to net inflows of EUR24bn in August, according to figures released by the European Fund and Asset Management Association (EFAMA).
This turnaround came on the back of a large swing in net sales of money market funds.
Long-term Ucits (Ucits excluding money market funds) remained steady in September registering net inflows of EUR13bn for the second successive month.
Equity funds recorded net inflows of EUR3bn in September, marking the first month of net inflows since March this year and a stark contrast to the net outflows of EUR10bn registered in August.
Net inflows into bond funds halved in September to EUR9bn.
Balanced funds also registered reduced net sales in September of EUR2bn, down from EUR6bn in August.
Money market funds experienced a turnaround in net flows in September recording net outflows of EUR23bn, against net inflows of EUR11bn in August, reflecting in particular end of quarter withdrawals.
Total net sales of non-Ucits in September amounted to EUR4bn, down from EUR5bn in August. Net inflows into special funds (funds reserved to institutional investors) registered EUR3bn in September, compared to EUR4bn in August.
Total net assets of Ucits increased 0.4 per cent in September to EUR6,223bn, whilst non- Ucits net assets increased 0.5 per cent in the month to stand at EUR2,470bn.
Bernard Delbecque, director of economics and research at EFAMA, says: “The ECB’s decisions as regards outright monetary transactions and the approval of the European Stability Mechanism by Germany’s Constitutional Court enticed investor return to equity funds, thereby supporting net sales of long-term funds.”