Despite recent Eurozone volatility, Equity sales have now returned to their 2000 peaks, statistics from the Investment Management Association reveal.
Investors,tired of savings accounts earning little interest and more confident that the spectre of a double dip recession has been avoided, are dipping their toes in what is still a volatile market.
Key findings:
- £2.5 billion net retail sales in December– above the monthly average of £2.0 billion over the past 12 months
- Net retail sales of the Global Growth sector – the highest on record
- Net retail sales of index tracker funds within the UK All Companies sector – the highest on record
Richard Saunders - Chief Executive at the Investment Management Association, comments:
"UK investors added a further £2.5 billion to their holdings in December, more than any other month in 2010.“In December, net retail sales of equity funds reached levels not seen since April 2000.
Strong sales of tracker funds also helped the UK All Companies sector to its best sales in 2010.“Investors continued to diversify their portfolios geographically, with the Global Growth sector reporting its highest sales on record.”
Good economic data continues to flow from the US, and here in the UK but it's not all good and the ride over the next year could be bumpy but a ride and a risk that more investors are now prepared to take.