The most popular funds, stocks and investment trusts according to DIY investors
DIY investors sought high-growth tech stocks and funds as well as more cautious options in April, which was a turbulent month for the markets.
Investors seemed split between caution and optimism in April, as markets rose and fell dramatically in reaction to the ongoing conflict in Iran. The most popular stocks, funds and investment trusts with DIY investors during the month reflect this confusion.
DIY investors using investment platform Interactive Investor (ii) bought high-growth tech stocks and funds alongside cautious money market funds during April, ii’s data shows.
“Both cautious and adventurous strategies piqued investors’ interest in April as stock markets, particularly the S&P 500 index, enjoyed a strong spell of performance,” said Kyle Caldwell, funds and investment education editor at Interactive Investor. “This was despite no shortage of headwinds, in particular uncertainty over the Middle East conflict and scepticism over the huge amount of money the world’s biggest businesses are spending on artificial intelligence (AI) advancements.”
Try 6 free issues of MoneyWeek today
Get unparalleled financial insight, analysis and expert opinion you can profit from.
Sign up to Money Morning
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
The most popular stocks in April
Top stock picks throughout April reflected a blend of familiar FTSE 100 names and more adventurous tech and growth names.
“Regular feature FTSE 100 stocks like Rolls Royce (LON:RR.), Legal and General (LON:LGEN), and Lloyds Bank (LON:LLOY) remained highly popular single stock choices among ii customers last month,” said Victoria Scholar, head of investment at Interactive Investor. “UK energy stocks like BP (LON:BP.) and Glencore (LON:GLEN) also made it onto the most bought list.”
Two Alternative Investment Market (AIM)-listed stocks, ITM Power (LON:ITM) and IQE (LON:IQE), both made new entries in the top stocks list.
“IQE, a UK mid-cap chip wafer maker is benefitting from the global rally in semiconductor stocks, with shares jumping more than 850% so far this year,” said Scholar. “Meanwhile ITM Power, a UK clean energy company is up by over 420% year-on-year and more than 150% over the past month.”
Microsoft (NASDAQ:MSFT) also returned to the top-10 most-bought stocks list, but it is the only Magnificent 7 stock represented.
Equities | |
1 | Rolls Royce |
2 | Legal & General |
3 | Taylor Wimpey |
4 | Microsoft |
5 | Lloyds Banking |
6 | ITM Power |
7 | Glencore |
8 | BP |
9 | IQE |
10 | easyJet |
Source: Interactive Investor
April’s most popular funds
Money market funds were popular picks among ii’s investors during April. These conservative investments offer cash-like performance and security, and it is unsurprising that investors turned to them as stock markets turned volatile.
“Investors often use money market funds to park cash for short periods while deciding where to invest, or to act as a safe haven during periods of stock market volatility,” said Caldwell.
But some investors sought to take advantage of the market volatility. Polar Capital Global Technology and Blue Whale Growth funds both reflected a continued appetite for riskier growth assets, while Jupiter Gold & Silver’s inclusion showed that demand remains for precious metals despite recent weakness for gold.
In terms of index funds and exchange-traded funds (ETFs), global stock market trackers like Vanguard Global All Cap Index and HSBC FTSE All World Index kept DIY investors exposed to global stocks, while high-equity versions of Vanguard’s LifeStrategy funds also suggest a tilt towards risk.
Active Open-Ended Fund | Index Fund or ETF | |
1 | Royal London Short Term Money Market | Acc | Vanguard FTSE All-World UCITS ETF |
2 | Artemis Global Income | Acc | Vanguard FTSE Global All Cap Index |
3 | Royal London Short Term Money Market | Dis | iShares Physical Gold ETC |
4 | WS Blue Whale Growth | HSBC FTSE All World Index |
5 | Artemis SmartGARP European Equity | Vanguard LifeStrategy 80% Equity |
6 | Polar Capital Global Tech | Vanguard S&P 500 UCITS ETF | Acc |
7 | Vanguard Sterling Short-Term Money Markets | Vanguard LifeStrategy 100% Equity |
8 | Artemis Global Income | Dis | iShares Physical Silver ETC |
9 | Fidelity Cash | Vanguard S&P 500 UCITS ETF | Dis |
10 | Jupiter Gold & Silver | L&G Global Technology Index |
Source: Interactive Investor
“Investor appetite for growth assets was revealed by strong demand for global funds – both active and passive funds, with the latter aiming to deliver close to the return of the global stock market,” said Caldwell.
The most popular investment trusts in April
Investors looked to the heavens for returns during April: Seraphim Space (LON:SSIT) jumped to second on ii’s list of the most popular investment trusts, up from seventh in March. Scottish Mortgage (LON:SMT) took top spot: its top holding, SpaceX, is expected to IPO within months, further stoking interest in investing in space.
| |
1 | Scottish Mortgage |
2 | Seraphim Space |
3 | Polar Capital Technology |
4 | Greencoat UK Wind |
5 | City of London |
6 | Henderson FE Income |
7 | The Renewables Infrastructure Group (TRIG) |
8 | 3i Group |
9 | F&C Investment Trust |
10 | Temple Bar |
Source: Interactive Investor
