Ucits sales plummet in Q12016
Ucis funds recorded a sharp decline of net sales, from €122bn in the last quarter of 2015 to net outflows of €5.bn during Q12016, according to the latest data provided by European Fund and Asset Management Association (Efama).
Equity funds reported the biggest losses compared to the previous quarter, with net sales shrinking from €57bn to -€3bn, while bond fund sales remained weak, at -€9bn. Net sales of multi-asset funds fell from €31bn to €6bn. Money market fund sales also declined from €39bn to -€2bn quarter on quarter.
In terms of regional distribution, no major domiciles recorded positive quarterly growth in net assets of Ucitd in Q1 2016. The UK, Ireland, Luxembourg, Germany and France saw UCITS assets fall by 7.3%, 4.1%, 3.4%, 2.9% and 0.7%, respectively.
All Nordic countries experienced a decrease in net Ucits assets, albeit at moderate rates, with the only exception of Norway which recorded an increase of 1.3%. On the other hand, Denmark, Finland and Sweden all recorded drops in net Ucits assets by -0.9%, -2.2% and -2.9% respectively.
Southern countries all recorded falls in net Ucits assets: in Greece net assets went down by 6%, in Portugal by 4.5%, in Spain by 2% and in Italy by 1.8%.
Meanwhile, AIF funds also faced a challenging environment, although the decline was less dramatic with net sales falling to €43.4 billion in Q1 2016, compared to 48.4 billion in Q4 2015.
The slightly less dramatic decline was partly due to bond and real estate funds, where net assets increased by 2.1% and 1.1% respectively, meanwhile, assets in alternative equity funds declined by -3.7% quarter on quarter.