The European fund industry gained no respite in the fourth quarter of last year, as investors continued to withdraw assets in almost all major markets.
“It does seem as if America sneezed but Europe really caught the cold,” says Diana Mackay, managing director of Lipper Feri. “December’s always bad, so we factor out anything positive happening then, but this was worse than predicted.” In her opinion, only when interest rates available on deposit accounts are lower than investment returns will investors look again at funds.
