Investors plough record amount into tracker funds in 2019

Total retail inflows double the 2018 figure

David Brenchley
clock
Tracker funds were popular in 2019 as stockmarkets climbed
Image:

Tracker funds were popular in 2019 as stockmarkets climbed

Flows into tracker funds hit a record £18bn in 2019, double their total in the previous 12 months, as retail investors continued to fall out of love with active management.

Investment Association (IA) figures show the popularity of index funds surged in April, with inflows during that month reaching £1.7bn, more than twice that of March's total. In both May and November, inflows breached the £2bn mark. Of the total flows into passives, half, or £8.9bn, went into equity trackers, as stockmarkets pushed higher through the year. As a result of these flows, funds under management for tracker offerings hit £230bn at the end of the year. Record £2.2bn pulled from UK property funds in 2019 Meanwhile, there was also surge of interest in responsible investment...

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 Funds

Vietnamese equities tend to outperform Chinese equities when Chinese equities underperform the rest of the world

Deep Dive: Frontier markets require caution due to 'barrage' of shocks

Divergence from emerging markets

Kathleen Gallagher
clock 12 August 2022 • 4 min read
Bestinvest's bi-annual Spot the Dog finds over £45bn is still in underperforming portfolios

Bestinvest's Spot the Dog finds fewest underperformers in six years

Number of dog funds more than halves

clock 08 August 2022 • 4 min read
The £237m Baillie Gifford British Smaller Companies Fund was rated as not providing value.

Baillie Gifford UK equity strategies suffer low ratings in AoV

One red and four amber funds

clock 08 August 2022 • 2 min read
Trustpilot