Investors yank £800m from M&G Property Portfolio within first month of reopening
May’s outflows were ‘pretty horrific but not unexpected’
The M&G Property Portfolio has been battered by redemptions after re-opening its doors in May for the first time in 17 months.
But by the end of the month, this had dwindled to £1.3bn after investors yanked £806m from the fund, according to data from Morningstar.
A spokesperson for M&G said the firm could not comment on the flows data but said initial outflows had been fairly consistent with expectations.
Ben Yearsley, investment consultant at Fairview Investing, described May’s outflows as “pretty horrific but not unexpected”. “Unfortunately for M&G, the outflow will continue albeit at a slower pace,” he said.
Weekly outlook: US and China inflation figures and ECB policy decision
The key events for UK wealth managers for the week starting 7 June
Monday 7 June
-German factory orders
-US NFIB Small Business Optimism Index
According to 2019 data from the US Census Bureau, small businesses represent 99% of all American firms and account for 70% of American jobs so small companies can give a good guide to how the US economy is doing, said AJ Bell investment director Russ Mould.
The NFIB Small Business Optimism index rose in April to 99.8. However, 44% of small businesses said they were struggling to find staff, the highest figure since the survey began in the mid-1970s.