Investors pull £1.2bn out of the UK as Brexit uncertainty and global growth concerns weigh
Posted by Adrian Lowcock in Press releases category on 05 Sep 19
Adrian Lowcock, head of personal investing, Willis Owen:
- Fixed Income was the best-selling asset class with £2.2 billion in net retail sales
- UK funds experienced net retail outflows of £1.2 billion.
“Whilst the UK continued to be shunned due to Brexit uncertainty, things were quiet on this front in July. The shift out of equities in July was broader and didn’t just impact the UK as Investor confidence had been deteriorating over the past few months as concerns over the strength of global growth weighed on the outlook. The US-China trade was intensified, whilst tensions with Iran added to concerns. Then there is the economic data which showed a number of economies, including the UK, shrinking and a threat of a recession.”
“In this environment and given some of the decent performance stockmarkets have put in in 2019 it is hardly surprising that investors shifted to bonds as they locked in gains and looked to position themselves for a world of falling and lower interest rates led by the US Federal Reserve cutting rates.”