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Investment slumps in second quarter but remains up on 2011
INVESTMENT slumped between the first and second quarters of 2012, data from the Office for National Statistics revealed yesterday, as investors fled corporate securities.
Total net investment by insurance firms, pension funds and trusts was £20.6bn in the second quarter, down from £37.6bn in the first quarter, the data showed. This reflected small increases in investment into gilts, short-term assets and mutual funds, but a fall of £1.3bn in UK corporate bonds and equity.
Though net investment fell compared to the first quarter, it was 41 per cent higher than in the second quarter of 2011 – and higher than any other quarter last year.