Distribution heads said they were positive on the outlook for fund sales in the retail space this year despite the latest figures from the Investment Association (IA) revealing net flows plummeted £41.3bn to £7.2bn in 2018.
The trade body attributed the huge drop to a "perfect storm of uncertainty" as Brexit, US/China trade tensions, the declining Turkish lira and the Italian budget crisis weighed on investor confidence. This was exacerbated by the unexpectedly high net sales figures for 2017, which totalled £48.5bn. The fourth quarter of 2018 in particular saw "significant" monthly outflows, with the most recent monthly statistics from the IA showing outflows of £2.1bn in November. However, Adam Gent, head of retail/wholesale Northern Europe at Allianz Global Investors, said the firm had bucked the t...
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