2022 was a remarkable year for investors around the globe. Some may call it a year for the history books. Major economic and geopolitical headwinds resulted in falling equity and fixed income markets around the globe. In the aftermath of the COVID-19 pandemic, investors were concerned about the still-disrupted delivery chains and increasing inflation rates when the year 2022 started. All these concerns became overshadowed by Russia’s invasion of Ukraine since this meant that investors had to rewrite their playbook for the year. The war in Ukraine led to increasing prices for energy and food, which fuelled the already increasing

The European fund industry enjoyed inflows over the course of January 2023 as the markets were further recovering. The generally positive market trend was driven by expectations of a possible end of the monetary policy tightening cycle by central banks around the globe and better than expected economic growth in the major economies, which would fuel company earnings. That said, the promoters of mutual funds (+€17.7 bn) and the promoters of ETFs (+€18.9 bn) enjoyed inflows. Within this market environment, it was not surprising that European investors sold money market products since these products are considered safe-haven investments. Therefore, one

Given the generally positive market environment in December 2022, it was not surprising that the European fund industry enjoyed overall estimated inflows over the course of the month. That said, one needs to bear in mind that the geopolitical situation in Europe, the still ongoing COVID-19 pandemic, disrupted delivery chains, and increasing interest rates triggered by high inflation rates are all impacting investor expectations. Nevertheless, the estimated flows at the asset type level may indicate that European investors have shifted their positioning and are now somewhat in risk-on mode as long-term funds enjoyed overall inflows for the month. At the

Given the generally positive market environment over the course of October 2022, it was not surprising that the European fund industry enjoyed overall estimated inflows over the course of the month. That said, one needs to bear in mind that the geopolitical situation in Europe, the still ongoing COVID-19 pandemic, disrupted delivery chains, increasing interest rates triggered by high and in some cases still further increasing inflation rates are all impacting investor expectations. With regard to this, the estimated flows at the asset type level show that European investors are further in risk-off mode as long-term funds faced overall outflows,

European investors were in general further in a risk-on mode over the course of November 2021. Given the volatile and sluggish general market environment it was somewhat surprising that November 2021 was a positive month for the European fund industry since mutual fund (+€64.1 bn) and ETF (+€13.5 bn) promoters enjoyed inflows. The overall flow pattern in Europe showed that investors continued to be in risk-on mode in November even as the general flow pattern was driven by inflows into money market products. In more detail, investors bought further into risky assets as long-term funds (+€45.3 bn) and money market

European investors were further in a risk-on mode over the course of September despite the increased volatility in securities markets. Given the general market environment, it was no surprise that September 2021 was a month with mixed results for the European fund industry since the promoters of mutual funds (-€20.5 bn) faced outflows, while the promoters of ETFs (+€13.0 bn) enjoyed inflows. The overall flow pattern in Europe showed that investors continued to be in risk-on mode in September as the general flow pattern was driven by money market products. In more detail, investors bought further into risky assets as

European investors bought further back into mutual funds and ETFs in August. Since the global equity markets recovered further, investors returned to long-term mutual funds because they expected the massive stimulus packages from central banks and governments globally to keep interest rates low and to foster global economic growth after the lockdowns caused by the outbreak of COVID-19 are lifted in more countries around the globe. As a result, long-term mutual funds posted overall net inflows for the month. Bond funds (+€19.9 bn) were the best-selling asset type overall for August, followed by equity funds (+€11.0 bn), alternative UCITS funds

European investors bought further back into mutual funds and ETFs in July. Since the global equity markets stabilized further, investors returned to long-term mutual funds because they expect the massive stimulus packages from central banks and governments globally to keep interest rates low and to foster global economic growth after the lockdowns caused by the outbreak of COVID-19 are lifted in more countries around the globe. As a result, long-term mutual funds posted overall net inflows for the month. Bond funds (+€24.2 bn) were the best-selling long-term asset type for July, followed by equity funds (+€14.4 bn), mixed-assets funds (+€4.9

Following the good performance of the equity markets globally, European investors continued to be in risk-on mode in January. Investor sentiment might have been supported by positive news regarding the trade war between the U.S. and China, as well as a clearer situation around Brexit, since both led to a better outlook for general economic growth and company earnings for the year ahead. Despite this, there are concerns over global economic growth which have been triggered by the outbreak of the coronavirus, the effects of which on supply chains and corporate profits are not yet known. Nevertheless, long-term mutual funds

The European fund industry enjoyed estimated net inflows of €199.9 bn over the course of the first three quarters of 2019. These inflows follow the first year with estimated net outflows since 2011. These inflows occurred in a volatile but positive market environment driven by discussions of a possible trade war between the U.S. and China, an unclear situation around Brexit, and a general economic slowdown with decreasing earnings at the company level. Nevertheless, since the equity markets showed double digit returns over the course of 2019 so far, one would expect to see net inflows into mutual funds. That

Investor concerns regarding declining earnings and the possible effects of a trade war between the U.S. and China materialized in Europe’s August fund flows. Nevertheless, August was the sixth month that long-term mutual funds posted net inflows this year. Taking the current interest rate environment into account, it was surprising that bond funds (+€30.3 bn) were once again the best-selling asset type in the segment of long-term mutual funds, followed by mixed-assets funds (+€1.5 bn) and commodity funds (+€0.9 bn). All other asset types faced outflows: equity funds (-€20.0 bn), alternative UCITS funds (-€3.3 bn), “other” funds (-€0.5 bn), and

The positive fund-flows trend in Europe accelerated in July. Consequently, July was the fifth month long-term mutual funds posted net inflows this year. Taking the current interest rate environment into account, it was surprising that bond funds (+€37.7 bn) were once again the best-selling asset type in the segment of long-term mutual funds, followed by equity funds (+€9.4 bn) and commodity funds (+€0.9 bn). All other asset types faced outflows: alternative UCITS funds (-€3.5 bn), mixed-asset funds (-€1.3 bn), real estate funds (-€0.04 bn), and “other” funds (-€0.004 bn). These fund flows added up to overall net outflows of €43.2