Fund sales took an upturn in February after massive outflows in January but were still less than a third of business in February 2007.
Figures from the Investment Management Association reveal net retail sales of £309m in February showing a recovery from an outflow of £534m in January.
The specialist sector saw the biggest net retail inflows of £276m, with commodity funds producing £119m. Outflows from property funds were stemmed at £7m from £77m in January.
Net Isa sales also moved into positive territory, with £31.7m of inflows for February compared with January’s outflow of £68.4m. Sales were still well under half of the £88m in February last year.
Director of markets Jane Lowe says: “This month sees positive sales figures for both overall net retail sales and Isas. These modest figures may indicate that consumers’ investment in funds has settled down following the asset switching taking place over the last few months. Only time will tell if long-term confidence has returned.”