Consumers investing again

The first quarter of this year saw rises of 43 per cent in the sale of investment trust ISAs.

11:18 26 May 2004

The first quarter of this year saw rises of 43 per cent in the sale of investment trust ISAs through investment trusts and their managers.

This increase represented a rise to 23.3 million, compared with the total of 16.3 million for the first three months of 2003.

Investment trust ISA purchases increased 116 per cent sequentially.

Daniel Godfrey, director general of the Association of Investment Trust Companies, said: "It appears that retail investors are warming up to investment trusts once again.

"It is extremely encouraging to see investment trust purchases heading in the right direction."

In general, the Global Growth investment trust sector continued to gain the highest proportion of ISA purchases (29 per cent).

Additionally, investment trust saving scheme purchases saw a similar increase: in the first three months of this year the total increased by 36 per cent to 49.7 million, up from 36.5 million in the same period last year.

Mr Godfrey added: "Whatever the outlook for markets, I have no doubt that the investment trust industry is in a position of strength going forward."