The Share Centre’s top-selling funds this April
Head of investment research Andy Parsons looks at what were the most popular funds among investors last month.
April remains one of the most important months for investors. Whether that is ensuring ISA and pension allowances for the year are utilised or investing as soon as the new tax year starts. Despite this frenetic period of investment, it appears patterns are still following the same course.
Our 10 most purchased funds show that investor appetite remains firmly entrenched with many of the key investment stalwarts of the fund industry. As for whether investors are looking for income or growth, the top funds clearly show a split. Around half are clearly focused on income, whilst the remainder show a heavy preference for overseas and in particular emerging economy exposure.
Retaining its position at number one is the Legal & General UK Index tracker fund. This fund is the default investment option for child trust fund vouchers invested via The Share Centre where a fund was not chosen, so will feature on this list for the foreseeable future.
Second place saw a return to the top-10 for the Legg Mason Japan Equity fund. While our attention is focused on the continuing European crisis, we should not lose sight of the fact that it is little over a year ago since Japan witnessed horrific devastation.
In third place was the Aberdeen Emerging Markets fund, a regular within the top purchases, albeit a fund that has soft closed in order to restrict monetary inflows and therefore protect the underlying investments of those already invested.
Best-selling funds in April
Source: The Share Centre
In fourth place, was another fund focused on the Asian region and in particular a growing investment theme from within that area - the hunt for income. The Newton Asian Income fund is managed by Jason Pidcock and currently has a yield of around 5.14 per cent.
Fifth and sixth place were taken by two regular funds of our top-10, namely the beast of the UK equity income sector in the shape of the Invesco Perpetual High Income fund managed by the highly respected Neil Woodford. Investors are attracted to the fund for the attractive income yield it offers, the successful long term management of the fund through various difficult market conditions and its ability to deliver steady capital growth. Sixth place was taken by the Jupiter Global Managed fund.
Seventh place and retaining a position within the top-10 is the Fidelity Enhanced Income fund managed by Michael Clark and David Jehan. This fund was a new entrant to our Platinum 120 list at the start of 2012 and currently has a yield of around 7.73 per cent.
In eighth and ninth were the Newton Global Higher Income fund managed by James Harries, offering investors a truly global income mandate, and the First State Emerging Market Leaders fund run by Jonathan Asante, which offers investors exposure to Asia, eastern Europe and Latin America. In final place was the AXA Framlington American Growth fund managed by Stephen Kelly as investors look to the largest economy in the world for growth prospects.