Net sales of UCITS and alternative investment funds (AIFs) registered net outflows of €1 billion, compared to net inflows of €43 billion in April, according to new data released by The European Fund and Asset Management Association (EFAMA).
The association said this data, released as part of its latest Investment Funds Industry Fact Sheet, reflected a spike in investor risk aversion and increased political risk.
Some 28 associations representing 98 percent of total UCITS and AIF assets provided the net sales data.
Net sales of equity funds totalled net outflows of €3 billion, down from net inflows of €16 billion in April.
UCITS money market funds registered net outflows of €6 billion, compared to net inflows of €9 billion recorded in April.
Net sales of multi-asset funds totaled €9 billion, down from €10 billion in April.
Net sales of AIFs recorded net inflows of €8 billion, compared to net outflows of €3 billion in April.
Total net assets of UCITS and AIFs registered €16,004 billion at end May, compared to €15,818 billion at the end of April.
Bernard Delbecque, director of economics and research at EFAMA, commented: “Rising trade-related tensions, increased political risks and gradually normalising inflation caused a spike in investor risk aversion in May, resulting in net outflows from equity and bond funds.”
