Investors turn away from equity funds as UK continues to suffer outflows

Investors cut their exposure to equities last month, turning to bonds and money market funds, as UK-focused funds suffered another wave of withdrawals. UK investors withdrew £1bn from equity funds in October, up from £858m the prior month, marking the sixteenth month of outflows in the last seventeen, according to the latest fund flow index from Calastone. It also marked the ninth largest month on record for outflows. Since the start of the year equities have suffered outflows of around £6.8bn. UK equity funds shed £815m, a sharp uptick from September s £708m of withdrawals. Since the start of the year outflows have reached £5.3bn. Buyers step back But Calastone said the rise in equity fund outflows reflected a sharp fall in buying compared to an increase in selling, as sell orders fell just 0.3 per cent month on month. Meanwhile, daily trading figures did not indicate a swell of activity in the lead up to this year s Autumn Budget which had previously been recorded u