According to recent figures, investors in Britain broke records with the amount withdrawals from equity funds in August, amidst increasing economic pressures.
A report showed that that a net £1.93 billion was extracted from equity funds last month, with majority of outflow occurring because of selling activity, instead of buy orders slowing down.
The figure comfortably surpasses the previous record of equity find withdrawals established over the months of June (£1.54 billion) and July (£1.56 billion) in 2016 following the Britain’s vote to exit the European Union.
While all regions noted net outflows in August, UK-focused funds displayed the largest overall, losing a total of £759 million and marking the 15th month in a row showing net withdrawals.
British investors interested in equity funds and other asset classes often seek out expert investment advice in Chester, London and other financial hubs across the country. Wealth management teams offer their clients the benefit of specialist financial advice delivered in plain language that clearly explains the potential risks and returns involved in each type of investment. Adding a diverse variety of asset classes to an investment portfolio is the key to ensuring it remains well-balanced.
Asia-Pacific and North America both had poor record months. Asia-Pacific was severely impacted throughout the month by extreme lockdown restrictions enforced in China.
However, even funds in emerging markets, which have experienced gains from the skyrocketing prices of petroleum following the easing of Covid-19 regulations and the invasion of Ukraine by Russian forces encountered net outflows.
