07/11/2007

SLI delivers record 3rd quarter mutual fund sales

Leading fund manager, Standard Life Investments has experienced its highest third quarter mutual fund sales since the launch of the company in 1998, with gross inflows of £510m up 56% (from £328m) on the same period last year. Net inflows also reached their highest levels for the period, rising 22% from £236m (Q3 2006) to £288m (Q3 2007).

Over the nine month period to 30th September 2007, gross inflows increased by 66% to £2,011m (2006:£1,210.8m) whilst over the same period net retail mutual fund inflows increased by 52% to £1,401m (2006:£920m).

Top selling OEICs in the third quarter of 2007 were the Select Property, UK Equity High Income, Dynamic Distribution, Higher Income and UK Smaller Companies funds. The top selling funds for the same period last year were the Select Property, UK Equity High Income, UK Opportunities, Higher Income and UK Smaller Companies funds.

Jacqueline Kerr, Head of Mutual Fund Investments at Standard Life Investments said:

“While the third quarter of 2007 has seen a marked slowdown in retail fund gross inflows across the industry, it is hugely rewarding to see that our mutual fund sales are the highest ever for this period showing significant increases on the same period last year. On a personal note, I am pleased to see that the Dynamic Distribution Fund has made it into the top five selling funds. Early-bird investors are catching on to the potential benefits this fund can bring based on the fact that to date, the fund has seen top decile performance over one year and a return of 8.5% versus the sector average of 4.49%*.

“Our investors expect strong performance and this quarter has seen Standard Life Investments pick up two Citywire awards - 'Citywire Team All Stars Asset Group Winner - UK Equities' and 'Citywire Team All Stars Sector Winner - UK All Companies' at the Citywire Team All Stars Awards 2007 and Investment Week’s ‘Global Group of the Year’ award. The fact that this latter award is designed to recognise and reward strength of performance across a provider’s range of mutual funds is particularly pleasing for us. Thank you to all of the intermediaries and discretionary managers who continue to help us achieve this recognition. We look forward to continuing to produce the performance and service levels that merit it.”

Over the 12 month period to 30th September 2007, 19 out of Standard Life Investments 23 qualifying mutual funds beat their respective medians with 11 of these funds top quartile and four of these top decile. Over three years, 15 out of 19 qualifying funds beat their respective medians, with 11 of them top quartile and 6 of these funds achieving top decile performance.

* Morningstar Workstation for the period to 01/10/07