Back to 2000 Press Release menu
Back to UK Business (monthly)

Embargoed: 12.00pm: Monday 28 February 2000

ISAs' HAPPY NEW YEAR

• Gross investment fund sales of £3.6bn - up 38% on January 1999
• ISA gross sales rise 12% to £673.5m – matching last January’s PEP sales
• Number of ISA accounts set to exceed 3 million
• Unit trust and OEIC funds under management - £244bn

Stock markets slipped in January and this was reflected in the fall in total unit trust and OEIC funds under management to £244 billion. Gross sales however, at £3.6 billion, were undiminished, up 6% on the previous month and 38% ahead of the same time last year. Net retail sales of £951mn were down 14% on December, but up 121% on January last year. Institutions followed their traditional seasonal pursuit of quitting the market, this year the UK in particular.

ISA gross sales of £673.5m outstripped the previous month by 12%, matching almost pound for pound the equivalent PEP sales for last January, which were £673.6m. ISA funds under management rose by 6% to £7.3bn and the number of ISA accounts increased to 2.9million. IFAs were responsible for the greater share (40%) of investment fund ISA sales in January. Sales forces and tied agents accounted for 38% and the direct channel 21%.

Anne McMeehan, Director of Communications at AUTIF, commented:

"This is a great start to the year for ISAs. Investors are clearly giving them a strong vote of confidence. Whether the kind of momentum we saw building up this time last year for PEP business will be repeated with bumper ISA sales this year, is in some doubt. However all the indicators are pointing to a traditional end of tax year business boom."

Technology stocks and the funds that focus on them continue to enthral retail investors. Almost £226mn was invested in these specialist funds in January, of which £55mn was invested through ISAs (£32.6mn in December).

Summary table: January Unit Trust, ISA and PEP sales

For further information please contact:

Anne McMeehan, Director of Communications, AUTIF, +44 (0)20 7831 0898
Michael Quach, Head of Statistics, AUTIF, +44 (0)20 7831 0898
Clare Arber, PR Manager, AUTIF, +44 (0)20 7831 0898

Notes to Editors:

Best selling funds in January 2000

Net Retail Sales
UK All Companies, Global Specialist

Net Institutional Sales
Japan, Global Growth

Worst selling funds in January 2000

Net Retail Sales
UK Smaller companies, UK Money Market

Net Institutional Sales
Europe Excl UK, UK All Companies

PEPs:
The tables detailing stocks and flows via PEPs relate to plans operated by unit trust managers only and not to plans operated by all PEP Plan Managers.

1. Summary of total Unit Trust/OEIC and PEP sales - 1992 to 2000

2. Sector summary - January 2000

3. Retail gross - January 2000

4. Retail repurchases - January 2000

5. Retail net sales - January 2000

6. Institutional business - gross, repurchases and net sales - January 2000

ISAs:
The ISA tables relate to accounts operated by unit trust managers only and not to accounts operated by all ISA managers.

7. ISA sales and repurchases – January 2000

8. ISA gross sales – January 2000

9. ISA repurchases – January 2000

10. ISA net sales – January 2000
    

Summary Sheet
Sector Summary
Retail Gross Sales
Retail Repurchases
Retail Net Sales
Institutional Sales
ISA Sales and Repurchases
ISA Gross Sales
ISA Repurchases
ISA Net Sales

Back to 2000 Press Release menu
Back to UK Business (monthly)