UK-domiciled funds suffer £5bn outflows in March as Brexit fears weigh on sentiment

Data from Morningstar Direct

Anna Fedorova
clock • 2 min read

UK-domiciled funds have suffered outflows of £5bn in March, according to figures from Morningstar Direct, bringing the total outflows since April 2018 to £30bn.

In its first UK Fund Flows data and commentary, Morningstar Direct attributed the persistent outflows to the impact of Brexit, which is pushing investors from UK-domiciled funds to those registered in Luxembourg and Ireland.  At the same time, the approach of the original 31 March Brexit deadline pushed buyers into money market funds in favour of other asset classes. "Brexit has made analysing fund flows from UK-domiciled funds difficult," said Bhavik Parekh, associate analyst, manager research. "In the months leading up to the deadline, investors and fund families became increasin...

To continue reading this article...

Join Professional Adviser for free

  • Unlimited access to real-time news, industry insights and market intelligence
  • Stay ahead of the curve with spotlights on emerging trends and technologies
  • Receive breaking news stories straight to your inbox in the daily newsletters
  • Make smart business decisions with the latest developments in regulation, investing retirement and protection
  • Members-only access to the editor’s weekly Friday commentary
  • Be the first to hear about our events and awards programmes

Join

 

Already a Professional Adviser member?

Login

More on Markets

Market Movers: Industry confident inflation will keep falling in 2024

Market Movers: Industry confident inflation will keep falling in 2024

‘Most of the inflationary inputs are external and generally already falling’

Professional Adviser
clock 22 March 2024 • 1 min read
Market impact concerns ahead of US and UK elections divide industry

Market impact concerns ahead of US and UK elections divide industry

‘We need someone with a bit of something about them’

Isabel Baxter
clock 02 February 2024 • 3 min read
0.3% GDP growth fails to alleviate 'precarious' economic situation

0.3% GDP growth fails to alleviate 'precarious' economic situation

'An appropriately diversified portfolio is the best approach'

Hope Coumbe
clock 12 January 2024 • 2 min read