Highlights
- Total fund flows for October were €58.34bn, down on both September and August. Bonds led sales (+€31.91bn), followed by money market funds (MMFs) (+€20.88bn).
- Equity funds sold off broadly, seeing aggregate redemptions for only the second month this year (-€1.37bn)
- Money Market USD funds were Europe’s best-selling classification for the third straight month (+€9.9bn), attracted by higher base rates and a strengthening dollar
- Equity Global (-€9.08bn) saw the largest redemptions, and there were also outflows from Equity US funds (-€1.72bn)
- HSBC was the most successful fund promoter over the month (+€8.97bn)
PMIs in most developed markets indicated positive economic growth over October despite persistent tariff worries, with Canada and Japan’s central bank raising concerns. While inflation remained sticky and above target in several economies, it was broadly in line with expectations. The US dollar, which had fallen considerably in H1 began to gain in Q3, and continued to strengthen over October.
This resilient economic activity, supportive monetary policies, alongside continued investment in AI technologies, were supportive of risk assets. Equity markets continued to rise, with most bond markets also in positive territory. Despite this, equity funds sold off broadly, seeing aggregate redemptions for only the second month this year (-€1.37bn), with US, UK, and European equity (ex-UK) funds seeing the largest outflows.
European equities, which had led performance for the most part during H1 2025, have lagged global peers over Q3 and October. Despite this, Equity Europe was the top-selling equity classification in October (+€5.26bn). Asia Pacific and Japan equity markets outperformed the global market, while the US large and small caps, emerging markets, and UK also lagged over the month.
In fixed income markets, the Fed’s indication that a December cut was not guaranteed sent US long yields higher in late October, while UK long yields declined in anticipation of a rate cut in November. In corporate bond sectors, investment grade broadly outperformed high yield, led by UK and Europe. Bonds were the best-selling asset class over the month, attracting €31.91bn.
Asset Type Flows
Asset Type Flows October 2025
Chart 1: Estimated Net Flows by Asset and Product Type – October 2025 (€bn)
Source: LSEG Lipper
Bonds have been the best-selling asset class since April, when they sold off heavily (-€23.56bn).
Total flows to mutual funds and ETFs for October were €58.34bn, down on both September and August. Mutual funds attracted €218.76bn, while ETFs took €39.57bn.
Bonds led sales (+€31.91bn: +€18.32bn MF/+€13.6bn ETF). MMFs followed (+€20.88bn: +€19.43bn MF/+€1.46bn ETF), then, at some distance although with increasing sales over H2, mixed assets (+€6.97bn: +€6.34bn MF/+€0.63bn ETF), then alternatives (+€1.93bn: +€1.91bn MF/-€0.02bn ETF).
“Other” funds suffered outflows (-€0.15bn), alongside real estate (-€1.79bn), all from mutual funds. While aggregate equity redemptions were not that severe, the rotation from mutual funds into ETFs was significant (-€1.37bn: -€25.69bn MF/ +€24.33bn ETF).
Asset Type Flows Year to Date
Chart 2: Estimated Net Sales by Asset and Product Type, January 1 – October 31, 2025 (€bn)
Source: LSEG Lipper
Aggregate year-to-date flows were €603.18bn (+€320.73bn MF/+€282.45bn ETF).
Asset class relative rankings remain unchanged since September. Bond funds continue to lead (+€236.97bn: +€188.77bn MF/+€48.19bn ETF), then MMFs (+€171bn: +€155.38bn MF/+€15.62bn ETF). Equities follow (+€146.86bn: -€66.22bn MF/+€213.08bn ETF).
Mixed assets follow (+€31.31bn: +€30.03bn MF/+€.1.28bn ETF), then alternatives (+€18.24bn: +€16.43bn MF/+€1.8bn ETF), then commodity funds (+€8.09bn: +€5.15bn MF/+€2.94bn ETF).
Two asset classes are in the red YTD: “other” (-€0.98bn), and real estate (-€8.45bn) both all from mutual funds.
Fund Flows Active vs Passive Products
Chart 3: Estimated Net Flows by Management Approach and Product Type, October 2025 (LHS); January 1 – October 31, 2025 (RHS). €bn
Source: LSEG Lipper
Actively managed mutual funds netted €32.4bn in October, up from September’s €27.21bn. ETFs saw inflows of €39.57bn—slightly up on the previous month. Mutual fund index trackers saw significant redemptions (-€13.64).
YTD, those figures are: active MFs +€352.84bn, ETFs +€282.45bn, and passive MFs -€32.11bn. When MMFs are stripped out YTD, flows to long-term assets in ETFs were €266.83bn, actively managed mutual funds’ share of long-term asset flows was +€203.3bn, while index-tracking mutual funds lost €37.96bn.
Fund Flows by Lipper Global Classification
Fund Flows by Lipper Global Classification, October 2025
Chart 4: Ten Best- and Worst Lipper Global Classifications by Estimated Net Sales, October 2025 (€bn)
Source: LSEG Lipper
Money Market USD funds were Europe’s best-selling classification for the third straight month (+€9.9bn, almost all in MFs), in contrast to July, where these vehicles saw large outflows. MMFs do well as safe havens in times of financial stress. However, despite how financially stressed individuals may be feeling, the various indices that measure financial stress are ticking along quite nicely. And, while we’ve seen major equity redemptions in October, that’s not been the case YTD (see chart 5), whereas USD MMFs have done well, even when their euro equivalents have sold off, as they did in September.
It’s noteworthy that this is not a UK trend, as Money Market USD funds saw outflows of £9m in October there. This may tell us why the classification is selling so well on the Continent: base rates are the same in the UK as the US, but almost half this in the Eurozone. What’s more, the strong dollar weakening relative to the euro levelled off in June, and the dollar has been strengthening since September, factors which will add to the attractions of USD MMFs. Another factor may be linked to the sell-off of Equity US funds: those taking profits from US equities may want to stay in the same currency, to re-enter the market in the event of a market correction.
Money Market EUR funds rebounded from September’s redemptions, to see significant inflows (+€5.82bn), as did Money Market GBP (+€4.3bn).
Top-selling fixed income fund classifications included Bond Global USD (+€5.39bn), Bond Global Corporates EUR (+€5.3bn), and Bond Global USD (+€3.27bn).
Equity Europe was the top-selling equity classification (+€5.26bn: +€4.11bn MF/+€1.15bn ETF), despite lagging US and global in performance terms since the summer. This was followed by Equity Emerging Markets Global (+€3.25bn, all MF) and Equity Sector Information Technology (+€2.14bn, all MF), again, despite some concerns of AI valuations, implied by the selloff of US equity funds.
Of which, the four classifications with the largest redemptions this month were Equity Global (-€9.08bn: -€15.87bn MF/+€6.79bn ETF), Equity UK (-€3.65bn: -€3.89bn MF/+€0.24bn ETF), Equity Europe ex UK (-€1.81bn: -€1.78bn MF/-€0.03bn ETF), and Equity US (-€1.72bn: -€9.36bn MF/+€7.64bn ETF). It seems evident from this that there is a significant rotation from passive mutual funds into passive ETFs indexed to major global and US indices, not dissimilar than we’ve seen from active to passive equity more broadly. For the moment, at least, the world’s two biggest equity fund classifications are all about price.
Fund Flows by Lipper Global Classification, Year to Date
Chart 5: Ten Best- and Worst Lipper Global Classifications by Estimated Net Sales, January 1 – October 31, 2025 (€bn)
Source: LSEG Lipper
Little change in the YTD rankings, despite the month’s sell-off of Equity Global funds.
Money Market USD (+€84.88bn: +€78.8bn MF/+€6.18bn ETF), Money Market EUR (+€72.12bn: +€62.18bn MF/+€9.31bn ETF), Equity Global (+€59.21bn: -€0.1bn MF/+€59.31bn ETF), Bond Global USD (+€39.34bn: +€4.11bn MF/+€1.15bn ETF), and Equity Europe (+€36.11bn: +€2.74bn MF/+€33.37bn ETF).
Despite muted flows in October, Bond EUR Short Term (+€21.01bn) and Bond Global Short Term (+€20.4bn) have sold well over the year, both predominantly via mutual funds.
The only other equity classification to make the top ten is Equity Emerging Markets Global (+€19.36bn: +€4.42bn MF/+€14.94bn ETF). Equity US funds don’t make either end of the table, but rather sit in twenty-third place (+€7.81bn). Equity US Small & Mid Cap, however, has seen redemptions (-€5.44bn: -€2.11bn MF/-€3.32bn ETF).
Equity UK continues to languish at the bottom of the table (-€19.67bn: +€19.9bn MF/+€0.23bn ETF).
Fund Flows by Promoter
Fund Flows by Promoter, October 2025
Chart 6: Ten Best-Selling Fund Promoters in Europe, October 2025 (€bn)
Source: LSEG Lipper
The 10 companies in the table above accounted for 78.27% (compared to 78.98% for September) of flows over the month, summing to €45.66bn.
HSBC led the field in October, mainly through mutual fund sales (+€8.97bn: +€7.37bn MFs/+€1.6bn ETFs), followed by DWS (+€6.85bn: +€3.28bn MFs/+€3.58bn ETFs) and JPMorgan (+€4.97bn: +€4.58bn MFs/+€0.39bn ETFs).
Meanwhile, Amundi saw the highest ETFs on chart 6 (+€6.58bn). In absolute terms this accolade went to BlackRock (+€11.87bn).
Fund Flows by Promoter, Year to Date
Chart 7: Ten Best-Selling Fund Promoters in Europe, January 1 – October 31, 2025 (€bn)
Source: LSEG Lipper
BlackRock consolidated its lead in October, as by far the dominant ETF player in the European market (+€52.45bn:
-€46.43n MFs/+€98.88bn ETFs).
HSBC’s strong October sales pushes it up from fourth to second place, with the strongest mutual fund sales (+€44.75bn: +€37.91bn MFs/+€6.85bn ETFs), and then DWS (+€41bn: +€16.93bn MFs/+€24.06bn ETFs).
The sales of the 10 top-selling managers YTD summed to €326.32bn, or 54.1%, of the total.
