Investors in the UK pulled a net £640 million from equity funds in January, in the sixth-largest monthly net withdrawals on record, ending a long run on inflows.
© ADVFN
Funds network Capstone reported that UK investors started the year “in a more pessimistic mood” after late 2024 saw bullish sentiment with money going into equity, bond and mixed asset funds.
Despite UK shares hitting record highs, Capstone said that UK-focused funds lost $1.07 billion of cash. European and Asian funds were also hit by net outflows, but American stocks received £576 million of net new money.
“The UK stock market reached all-time highs in January, but investors merely took this as an opportunity to get out while the going was good,” Edward Glyn, head of global markets at Calastone, said in a statement.
“Apparently nothing can dent the enthusiasm for U.S. stocks, however. Even the DeepSeek AI shock that happened late in the month spurred appetite rather than fear,” Glyn added. He noted that a day after the DeepSeek-induced selloff, North American equity funds notched their best day of the month for net inflows.
CLICK HERE TO REGISTER FOR FREE ON ADVFN, the world's leading stocks and shares information website, provides the private investor with all the latest high-tech trading tools and includes live price data streaming, stock quotes and the option to access 'Level 2' data on all of the world's key exchanges (LSE, NYSE, NASDAQ, Euronext etc).
This area of the ADVFN.com site is for independent financial commentary. These blogs are provided by independent authors via a common carrier platform and do not represent the opinions of ADVFN Plc. ADVFN Plc does not monitor, approve, endorse or exert editorial control over these articles and does not therefore accept responsibility for or make any warranties in connection with or recommend that you or any third party rely on such information. The information available at ADVFN.com is for your general information and use and is not intended to address your particular requirements. In particular, the information does not constitute any form of advice or recommendation by ADVFN.COM and is not intended to be relied upon by users in making (or refraining from making) any investment decisions. Authors may or may not have positions in stocks that they are discussing but it should be considered very likely that their opinions are aligned with their trading and that they hold positions in companies, forex, commodities and other instruments they discuss.
Hot Features
Premium
Trade like a pro: Leverage real-time discussions and market-moving ideas to outperform.
