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Finance & Economics

Calastone Says UK Investors Buy $14.5 Billion of Stocks This Year

Data from the Calastone fund network shows that in the United Kingdom, investors added a record 11.4 billion pounds ($14.5 billion) to private equity funds in the first six months of the current year.

Calastone Says UK Investors Buy $14.5 Billion of Stocks This Year

At the same time, there is currently an increase in demand for riskier assets amid the prospect of further rate cutting. Calastone stated that the inflow of funds into stocks over the past six months was the highest in the company’s history which began in 2007. The firm also noted that in June UK investors added 1.7 billion pounds to equities, extending a strong run inflow.

Edward Glyn, head of global markets at Calastone, said that hopes for cheaper money after a painful rate squeeze over two and a half years are the clear driving force behind record inflows into equity funds in the current year.

Data from the mentioned company shows that global equity funds were the most popular category in June, netting 1.4 billion pounds. At the same time, European equity funds absorbed 714 million pounds.

After a long period of strong growth, the inflow of funds to North American private equity funds has decreased. The outflow in this case amounted to less than 1 million pounds.

The outflow of money from British private equity funds continued but slowed down. The corresponding figure was fixed at around 522 million pounds.

Investors also cashed out of bond funds in June for the second month in a row, pulling 471 million pounds. In two months, according to Calastone data, this figure amounted to 1.1 billion pounds.

As we have reported earlier, Sequoia Capital Downsizes Its Funds.

Serhii Mikhailov

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