Equity funds suffer largest outflows since Mini Budget as ESG funds shed £700m

Calastone Fund Flow index

Equities funds suffered their largest outflows last month since the Mini Budget in September 2022, according to data from Calastone’s latest Fund Flow Index.

Equity funds shed £1.2bn assets in October, the sixth consecutive month of net selling, bringing their total outflows year-to-date to £2.9bn. UK-focused funds were hit hardest, losing £739m, their worst result since April. Meanwhile, equity income funds saw their 16th consecutive month of outflows with £475m withdrawn. ESG equity funds followed suit with their second worst month on record posting £700m of outflows, eclipsed only by £953m in outflows in August last year. In total, £3.1bn has been withdrawn from ESG equity funds over the last six months, Calastone found. Appetite for...