UK investors move £62bn into Luxembourg and Dublin funds on Brexit fears

Latest report from Calastone

Anna Fedorova
clock
Brexit uncertainty drives fund investors out of the UK
Image:

Brexit uncertainty drives fund investors out of the UK

UK fund investors have shifted a net £62bn of their investments outside the UK since the 2016 Brexit referendum, according to the latest Fund Flow Index (FFI) from Calastone.

In March 2019 alone they placed some £2.7bn in EU-based funds, almost triple the inflows into UK-regulated funds, as worries over a no-deal Brexit escalated. According to the report, almost all of the total £62bn is now invested in EU-based funds, with Dublin coming out as the biggest winner, taking in some £42bn; almost all of the rest has gone into funds domiciled in Luxembourg.  This figure is a staggering increase from the £2.5bn UK investors placed into offshore funds in the 18 months preceding the referendum. In the last six months, however, UK investors have placed more mone...

To continue reading this article...

Join Investment Week

  • Unlimited access to real-time news, analysis and opinion from the investment industry, including the Sustainable Hub covering fund news from the ESG space
  • Get ahead of regulatory and technological changes affecting fund management
  • Important and breaking news stories selected by the editors delivered straight to your inbox each day
  • Weekly members-only newsletter with exclusive opinion pieces from leading industry experts
  • Be the first to hear about our extensive events schedule and awards programmes

Join now

 

Already an Investment Week
member?

Login

More on Industry

European-focused investment grade and high yield credit have highest inflows since April 2020.

Fixed income dominates ETF flows in July

Accounted for $32.5bn

clock 08 August 2022 • 2 min read
Investors look away from energy intensive sectors such as chemicals, metals and manufacturing.

'An investor's worst nightmare': Energy rationing spells greater chaos for supply chains

Business confidence falls

clock 05 August 2022 • 5 min read
Bank of England governor Andrew Bailey

Bank of England gilt sales 'unlikely to upset markets too much'

Central bank raises rates to 1.75%

clock 04 August 2022 • 3 min read
Trustpilot