Morningstar European fund flow data shows outflows of over £100bn from long-term funds in 2011.
There were nearly £59bn flows out of equity funds in 2011 and £37bn out of fixed income.
Money market funds saw the strongest inflows in December, with £3.7bn, but flows to short-term funds were negative for the year. Morningstar’s euro money market short term and euro money market were the least popular money market categories in 2011, with more than £37bn in outflows.
Morningstar product manager asset flows Syl Flood says: “Macroeconomic uncertainty and market volatility clearly scared investors away from all kinds of funds, with outflows seen in equities, fixed income and money market funds. Even guaranteed funds, apparently designed to outperform in any market, weren’t popular. Only allocation funds saw net positive inflows.”