Investment funds outrun by inflation

The net asset of mutual investment funds averaged only 0.7% increase in November, much below inflation (2.6%) and the ROL depreciation (1.5%). This is the first time the funds are lagging behind this year. At the same time, the net asset value (NAV) of several investment funds dropped as compared to the previous month. The representatives of the Union of Collective Placement Bodies (UNOPC) say November was a slow month for funds, due to a higher inflation rate, which is natural for this time of year. The 2.6% inflation in November is nearly twice the average of the first ten months. “The 0.7% average monthly yield can be deemed as normal for funds. The problems are inflation and the ROL/USD exchange rate, which increased at a faster pace than in the other months,” UNOPC vice-president Dan Nicu told Ziarul Financiar. ZF