The investment market has had their clearest sign yet of renewed consumer interest, according to industry statistics, as net Isa sales rose by almost a third on the previous year.
Figures presented by the Investment Management Association reveal the Isa market saw its best year since 2002 as total net Isa sales rose 13% to £2bn and the official ‘Isa season’ – between 1st March and 5th April – saw net inflows of £897m, up 16% on the previous season.
Sales in March were four times higher than those seen in February, says the IMA, at £576m and were up 29% on March 2005, with the majority of sales - £447m – distributed through fund supermarkets.
The UK All Companies sector accounted for 24% of gross Isa sales in March and was again the most popular sector for the year.
At the same time, total net industry sales and net retail sales rose substantially, suggesting there is a significant return to market by investors, says Richard Saunders, chief executive of the IMA.
“In terms of net retail sales, March 2006 and the first quarter of this year were the best for six years. In addition, the ISA season was the strongest since 2002. This confirms that retail investors have continued to return to the market.”
Net retail sales climbed to £2.1bn in March 2006, compared with £506m in the same period the previous year while total net sales reached £2.1bn a rise of £506m since March 2005.IFAonline
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