Bond funds in demand as M&G dominates Q2 net retail sales

The popularity of M&G's fixed income offerings has seen it continue to dominate UK fund sales rankings in the second quarter of 2012, according to Fundscape's latest Pridham Report.

M&G, which has topped the rankings for the past three-and-a-half years, saw almost £1.3bn in net retail sales in Q2, £700m higher than the £567m seen at BlackRock, the next most successful fund group. The two fund giants also dominated the gross retail sales charts with £2.9bn of sales at M&G and £2.5bn at BlackRock. Two thirds of M&G's gross retail sales went into the group's fixed income products, according to Pridham, with Invesco Perpetual, Fidelity and Kames the others to benefit most from investor demand for bond funds. Last month M&G said it will explore ways to stem inflows...