Cross-border fund groups ‘will target UK’
Fund sales in Britain held up better than anywhere else in Europe in 2008, according to research from Lipper. The firm says this means that cross-border players are likely to push harder for British customers.
Inflows in the British market came to €9.2 billion (£8.2 billion) during the year, thanks to net sales of bond, multi-asset and money market funds and despite outflows from equity funds, says Lipper. In other European countries, one asset class tended to do well at the expense of others.
The report adds that new entrants into the British market and the FSA’s Retail Distribution Review are likely to create downward pressure on fees and may lead low fees to be a more prominent selling point for retail funds.