For immediate release: Monday 27 October 2008

INVESTMENT FUND STATISTICS
September 2008

UK Domiciled funds

Funds under management 
Funds under management of UK domiciled investment funds were £380 billion in September 2008, 11% down on the previous month and 19% lower than September 2007. UK domiciled ISA funds under management of £77.7 billion were 12% down on the previous month and 15% lower than the previous year.

Graph showing UK domiciled funds under management since September 2007

ISA sales   
As of April 2008 PEPs were merged into stocks and shares ISAs.  For comparison purposes, IMA ISA data for periods prior to April 2008 will combine PEPs and ISAs. This will apply to both UK and Overseas domiciled fund statistics.

Net sales of UK domiciled investment fund ISAs saw outflows of £250.9 million in September 2008, compared to outflows of £298.7 million the previous month and outflows of £163 million in September 2007. 

The most popular UK domiciled ISA sector in September 2008 was UK All Companies, accounting for 23% of gross ISA sales.  In net terms the most popular ISA sector was Guaranteed Protected Funds.

UK domiciled net sales by asset class
There was a £21 million net retail outflow overall.  Money market funds saw an outflow of £28 million while balanced funds saw an inflow of £74 million. Institutional holdings of unit trusts and OEICs saw outflows of £1.6 billion with bond funds accounting for an outflow of £792 million.

Graph showing net retail sales of UK domiciled funds over the last 13 months

Gross retail sales by sector and distribution channel 
The most popular sector in September 2008 was UK All Companies, representing 19% of gross retail sales of UK domiciled funds. 63% of gross retail sales into the UK All Companies sector were via the intermediary channel.

The most popular distribution channel for UK domiciled funds in September 2008 was the intermediary channel, representing 81% of gross retail business. Gross ISA sales of £223 million from sales force/tied agents made them the dominant distributor of ISAs, followed by £207 million via fund supermarkets

Best selling sector for UK domiciled funds
The UK Equity Income sector was the most popular UK domiciled net retail sector with inflows of £174.3 million.  The sector with the biggest outflows in September 2008 was Europe Excluding Europe, with net outflows of £178 million.

OVERSEAS FUNDS

Net retail sales of overseas domiciled funds in September 2008 saw an outflow of £167 million. Net retail sales of overseas domiciled investment fund ISAs saw outflows of £0.7 million in September 2008, compared to an inflow of £1.2 million seen in August 2008.

Summary of overseas domiciled funds - FUM and sales  

Richard Saunders, Chief Executive of the IMA commented:

-Ends-

Glossary

Detailed tables
1. Summary table 
2. UK domiciled funds under management by asset class
3. UK domiciled unit trust/OEIC sales
4. UK domiciled net sales by asset class
5. UK domiciled gross retail sales - 10 year summary
6. Overseas domiciled FUM and sales
7. Sector summary - current month
8. Retail business by sector and channel - current month
9. UK domiciled summary of best and worst selling sectors
10. UK domiciled funds under management - 13 month chart
11. UK domiciled net retail sales - 13 month chart
12. Performance of average UK domiciled fund by IMA sector

If you have any comments on presentation of the monthly statistics please e-mail press@investmentuk.org

For further information, please contact:
Noreen Shah, Press Officer, IMA, 0207 831 0898
Mona Patel, Head of Communications, IMA, 07834 089332