The most popular distribution channel in May was the intermediary channel, according to the Investment Management Association (Ima).
Its latest investment fund statistics reveal the intermediary channel represented 79.6% of gross retail business in May.
This was followed by tied agents/sales force with 8.1%, direct sales with 7.4% and private client with 4.9%.
Meanwhile, gross Isa sales of £286m from fund supermarkets made them the dominant distributor of Isas, followed by £253m worth of sales through sales force/tied agents.
The most popular sector was UK All Companies, representing 20% of gross retail sales. The sector was favoured by intermediaries and accounted for 18% of gross retail business through this channel.
The specialist sector remained the most popular net retail sector for the fourth consecutive month with inflows of £291m of which £264m was invested in the sector’s property funds.
Intermediaries were largely responsible for the continuation of this trend, representing net retail sales of £281m of the £291m total.
The sector with the biggest outflows in May was the UK All Companies sector with net outflows of £204m.
Net Isa sales of £154 million in May were significantly less than April, following the Isa season, but were up 37% from May 2005. The most popular Isa sector in May was UK All Companies, accounting for 22% of gross Isa sales.
Total net sales were £249m with bonds accounting for inflows of £639m. Of the £548m net retail sales £305m was invested in bonds, followed by £98m in balanced funds.
Investment funds under management of £367bn in May saw a fall of 5% from April, in line with the fall in the stock markets, but were 27% higher than May 2005. ISA funds under management of £47bn fell 4%, but were 18% higher than the previous year.
If you have any comments you would like to add to this story or would like to speak to its author about a similar subject, telephone Emily Perryman on 020 7968 4554 or email [email protected].IFAonline
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