According to the figures, new investments into UK based OEICs and Unit Trusts had a net total of £3.84billion in May, up from £1.86billion in April.

Overall, £1.7billion of the money was invested through bonds, which are often seen as less volatile than shares, although equities accounted for £1.48billion of overall investment fund sales.

Interest rates have now remained at record lows for three consecutive months, and as savings account interest rates follow suit, it seems Brits are flocking to investment funds in an attempt to make returns on their money.

In fact, according to the IMA, May’s investment figures show the highest net total outside of ISA season since records began, despite the fact that ISA sales were down compared with April.

Commenting, Richard Saunders, chief executive of the IMA said: “Retail and ISA sales continue to see strong inflows, with May’s figures recording the highest net retail sales outside of ISA season since records began.

“The last six months alone have seen net retail sales of £10.6billion. This is much higher than the same period a year ago when net retail sales were just £1.9billion,” he added.

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