Investment funds are rapidly becoming the most attractive home for Irish savers. Research by the Irish Association of Investment Managers showed that unit-linked funds and with-profits funds were the strongest growth areas over the first six months of 1999.

Net flows into unit-linked funds amounted to £332 million (€422 million), while a further £229 million was invested in with-profits funds.

The strong growth in personal investment funds is mainly due to falling interest rates and a surge in disposable income as well as the growing number of investment funds available in the Republic. According to the IAIM close to £1 billion was invested in these funds in the first half of 1999.