Investors pile into stocks

Marion Dakers
UK INVESTORS have flocked to equities in recent months, with net sales of stocks and shares funds hitting levels not seen since April 2000, said data out yesterday.

Investors added £1.7bn in equities to their portfolios in December, pushing total funds under management to an all-time high of £577.6bn, according to research by the Investment Management Association.

More than £7.5bn was poured into equities during 2010, overtaking bonds as the most popular asset class.

Global funds have also seen a huge rise in take-up, becoming the most popular sector in December with sales of £333m – 20 per cent of the total invested.

“Investment preferences continue to evolve,” said IMA chief executive Richard Saunders. “Retail investors went global in 2010, with the global sectors reporting their highest sales on record.”