While investors continued to prefer actively managed products, Vanguard’s LifeStrategy 80% Equity and LifeStrategy 100% Equity, snagged fourth and fifth spot last month, knocking out Jupiter India in the process.
Vanguard also dominated the list of most traded ETFs with the Vanguard Funds S&P 500 in first place, followed by Vanguard FTSE All-World in third and Vanguard FTSE Emerging Markets in fifth.
Overall, there were 15 Vanguard funds in the Top 100 most bought funds year-to-date.
The recent underperformance of Neil Woodford’s flagship equity income fund didn’t deter investors, as it remained the second most traded fund. Earlier this year Woodford’s newly launched Income Focus dropped out of Bestinvest’s best-selling list in May after bursting onto the scene for the first time in April.
However it was Smith’s Fundsmith Equity Fund, which often tops best-selling lists, that took the top spot in September.
Big and active
Rebecca O’Keeffe, head of investment at Interactive Investor, said: “Yet again, the big active funds of Fundsmith Equity, Woodford Income and Lindsell Train Global occupy the top three spots, with our investors continuing to prefer active management in the current environment.
“With currencies driving markets and sector moves more pronounced, there is greater potential for active managers to add value. The compound effect of lower fees is significant and over the long term this can add tens of thousands to your portfolio value, making low-cost tracker funds highly attractive for investors.”
Meanwhile banks dominated the list of traded large cap shares. with Lloyds Banking Group the most popular and Barclays ranking fifth.
Lee Wild, head of equity strategy at Interactive Investor, said: “It was all about inflation, interest rates and tapering during September, so little wonder central banks dominated proceedings.
“It’s why investors’ favourite Lloyds Banking Group rallied 6% in September and remained the most popular blue-chip stock on the Interactive Investor platform last month.”
BP and GlaxoSmithKline were also hits at second and third, while Vodafone returned to the top five at fourth place.
| Most traded funds | Most traded large cap shares |
| 1) Fundsmith Equity | 1) Lloyds Banking Group |
| 2) Woodford Equity Income | 2) BP |
| 3) Lindsell Train Global Equity | 3) GlaxoSmithKline |
| 4) Vanguard LifeStrategy 80% Equity | 4) Vodafone |
| 5) Vanguard LifeStrategy 100% Equity | 5) Barclays |
| Most traded ETFs | Most traded investment trusts |
| 1) Vanguard Funds S&P 500 | 1) Scottish Mortgage Trust |
| 2) iShares FTSE 100 | 2) Witan Investment Trust |
| 3) Vanguard FTSE All-World | 3) Woodford Patient Capital |
| 4) iShares UK Dividends | 4) Tr European Growth |
| 5) Vanguard FTSE Emerging Markets | 5) City of London Trust |
