Fixed deposits on the rise
Flossbach von Storch loses one billion euros in deposits
08/14/2023 4:29 p.m
Data from the fund rating agency Morningstar Direct show that a huge sum flowed out of a popular mutual fund from Flossbach von Storch in the first six months of this year. According to the fund manager and founder Flossbach, this can be attributed in particular to the interest rate turnaround.
One of the most popular mutual funds in Germany recorded significant outflows of funds in the first half of the year: more than one billion euros flowed out of the multiple opportunities fund from Flossbach von Storch (FvS) from January to June. This is shown by data from the fund rating agency Morningstar Direct, which is exclusively available to Capital.
There were also outflows from other of the house’s mixed funds, partly offset by net inflows, including €905 million into the FvS Bond Opportunities fund. The public funds of the Cologne-based company observed by Morningstar recorded net outflows of 340 million euros. This is little compared to the assets managed by the company of around 75 billion euros, but it is a setback for the company, which has been used to success for years, on its 25th anniversary of all things.
Fund manager of Multiple Opportunities is founder and CEO Bert Flossbach, his previous deputy Elmar Peters had started his own business at the beginning of the year. When asked by Capital, FvS board member Dirk von Velsen attributed the net outflows in particular to the turnaround in interest rates and to the sales successes of the certificate providers. “The mutual fund business is currently challenging,” he said. “In view of the rise in interest rates, many investors prefer interest-bearing products such as time deposits.”
The certificate market is also experiencing a boom. We’re feeling the effects of that, too.” A net flow of 363 million euros flowed from the original version of the Multiple Opportunities fund, with the Multiple Opportunities II version, which is more widely distributed in other European countries, it was even 703 million euros. However, the two sub-funds together are still around 38.2 billion The two identical funds have increased in value by around eight percent up to and including August 4 this year.