Exchange-traded UIFs see record investment inflow
In 2020 Q3, net inflow of investments into exchange-traded unit investment funds (UIFs) reached 13.3 billion rubles. This is the maximum level since this market segment appeared and higher than during the first six months of the year. Thus, net assets value of exchange-traded UIFs in 2020 Q3 rose 52.6% to 48 billion rubles. This is evidenced by the data shown in the analytical commentary ‘UIF Market Trends’.
UIFs become more popular with retail investors as deposit interest rates continue to decline. Over the third quarter, net inflow of investments in open-end UIFs intended for retail investors reached 38 billion rubles. As a result, their net assets value exceeded 600 billion rubles (up 13.0% QoQ). The weighted average return of open-end UIFs (a change in their unit price over a quarter) stood at 5.7% (7.7% after 9 months).
Fresh money of customers of funds for unqualified investors mainly go in UIFs that specialise in debt securities, including government bonds.