Fund of funds recorded their highest ever quarterly net retail sales in Q2 at £2.3bn, according to the IMA.
This was double the sales for both the previous quarter and Q2 last year, with new offerings making a significant contribution.
FoFs accounted for almost 10% of gross retail sales, while assets under management in the vehicles were £46.3bn at the end of the second quarter, up 40% on Q2 last year.
The balanced asset class accounts for the highest proportion of funds under management for FoFs at 60%, but this is down from 62% in the previous quarter and 63% a year ago.
In terms of net retail sales, the Unclassified sector had the largest inflows at £1.5bn, accounting for 51% of all net retail sales in the three months.
Cautious Managed also remained popular this quarter. It was the second highest selling sector, accounting for 18% of all FoFs net retail sales.
Net retail sales into tracker funds stood at £202m, above the average of the past four quarters though lower than the Q2 2009 figure of £280m.
Tracker funds under management were £27.1bn at the end of the Q2, down 9% on the first quarter, but 26% up on the same period last year. Their share of funds under management was 5.5%, largely unchanged since 2000.
Finally, net retail sales of ethical funds totalled £98m in the second quarter, the highest sales figure since Q4 2007.
IMA director of markets Jane Lowe says: "Quarter 2's fund statistics reveal strong inflows into funds of funds, continuing the positive trend seen in recent quarters.
"Both tracker and ethical funds also saw net retail sales well above the average of recent quarters. Ethical fund sales were the highest we have seen in the last 2.5 years."
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