Data from the Swedish Investment Fund Association point to strong demand for investing in equity funds through August, helping send total fund assets up some SEK40bn (€4.2bn) to a total of SEK3.392trn (€356bn)
Equity funds attracted net inflows of SEK7.7bn, balanced funds SEK2.2bn, and bond funds SEK2bn. However, money market funds saw withdrawals of SEK11.1bn, while hedge funds saw SEK0.9bn flow out. On a year to date basis, investment funds have seen total net inflows of SEK7.9bn (€830m).
Looking deeper at the figures, Fredrik Pettersson, chief analyst and deputy manging director, said: “Although total deposits in August were at the same level as total withdrawals, the net savings for different fund types show relatively high activity. Savers continued to invest in equity funds, while the outflow from money market funds is mainly due to institutional investors’ behavior.”
As is often the case, the inflows to equity funds came as the Stockholm Stock Exchange rose by 2.5% through August, including dividends. The largest share of the net SEK7.7bn inflows to equity funds went to Sweden funds.
Index funds accounted for about a third of total inflows to equity funds through the month, the Association added.
Also announced by the Association in recent days is the addition of new members.
BMO Global Asset Management, the asset management business of Bank of Montreal, Canada’s oldest bank, was elected a member.
Bloomberg LP has been accepted as an associate member.
Together these recent additions take the number of members companies to 44, with 11 associate members.