Investors flocked to invest in gold and oil exchange-traded commodities (ETCs) during the first quarter, boosting ETF Securities’ assets under management by 44%.
The firm reported record inflows in long oil and gold ETCs as investors sought a hedge against inflation and to gain from a rising oil price.
ETF Securities said it saw inflows into its physically-backed gold ETC that were 3.7 times higher than the previous quarter, the largest quarterly increase on record.
Oil inflows also rose 2.6 times against the previous quarter. Assets under management at ETF Securities rose 44% to $10.1 billion (£6.83 billion).
The group also indicates that this may have been a wise move for investors, because commodities outperformed equities for the first three months of the year.
The DJ-AIG-F3 Commodities Index fell 4% while the FTSE 100 fell 10% and the MSCI World Index dropped 11%.
Precious metals were the best performers, with the DJ-AIG Precious Metals sub-index rising 7% followed by the DJ-AIG Industrial Metal sub-index up 5%.