Key findings from Morningstar’s European asset flows report for June include:
- Long-term fund outflows during June totaled more than EUR 31 billion.
- Equity funds endured outflows of EUR 9.5 billion, the largest since May 2012, and money market funds lost nearly EUR 25 billion.
- EUR 2.6 billion exited emerging-markets funds in June.
- Allocation and alternative funds bucked the trend, collecting inflows of EUR 7.3 billion and EUR 2.7 billion, respectively.
- Morningstar’s Alternative Multi-Strategy category was the most popular, attracting net inflows of EUR 1.6 billion in June.
- The 10 funds with the highest June outflows belong to the High-Yield, Flexible, or Emerging-Markets Bond categories.
- At the fund group level, PIMCO suffered the highest outflows, but maintained a strong year-to-date run with net inflows of EUR 10.9 billion.
- Of the largest 10 providers, BlackRock had the best monthly result in June, with net inflows of EUR 3.6 billion.
Syl Flood, product manager, asset flows, for Morningstar comments:
“June marked another month of investor trepidation. Bond fund investors grew nervous over the potential for rates to rise further and bailed out of fixed-income funds accordingly. Outflows of EUR 9.5 billion from equity funds, the asset class’s largest since May 2012, shows equity fund holders were also spooked. Prior to June, equity funds had enjoyed nine straight months of inflows. Nevertheless, while these outflows are significant, they are dwarfed by the stampedes seen in August 2011 and October 2008, when long-term funds suffered outflows of EUR 46.2 billion and EUR 85.8 billion, respectively.”
For the full June asset flows report, please click here.
To speak to Morningstar’s fund flows analysis team, please get in touch at 020 3194 1092.
