Advisers continue to favour Cautious Managed

The Cautious Managed sector maintained its top selling position in July with advisers focusing on multi-manger funds, according to the latest sales trends from Cofunds, the leading independent platform for financial planning.
Cautious Managed took an impressive 30 percent of net sales and 20 percent of gross sales, firmly placing the sector as the highest selling in July. However, despite its success the sector also saw net sales drop six percent from a high of 36 percent market share in May and June.
Corporate Bonds also enjoyed a successful month, accounting for six percent of net sales, up from an average of two percent over the last two months. Propelling Corporate Bond funds back into the top ten were, Invesco Perpetual Corporate Bond and M&G Strategic Corporate Bond, which were the seventh and ninth highest selling funds respectively.
Michelle Woodburn, Manager, Fund Group Relations at Cofunds said: “July has been a predominantly positive month for the Cautious Managed sector. Whilst maintaining a strong lead as the highest selling sector, it also suffered a slight decline in net sales market share from the previous two months, suggesting that redemption levels have grown as advisers look to other types of funds and sectors.” 
“July also maintained a diversified theme from the previous month with multimanager funds continuing to flourish as investors looked for a return in uncertain times with broad flexible funds. Two new multi-manager funds in the Cautious Managed sector broke into the top selling list, placing just outside the top 10 at 11^th and 12^th (Aviva Cautious Fund of Funds and Aberdeen Multi Manager).”