03 Nov 2025 Direct investors keep calm and carry on investing in Q325

Despite the Labour government’s economic doom and gloom and Trump’s histrionics, UK investors took the third quarter in their stride, delivering flows not far off H1’s ISA season figures. This confidence was undoubtedly stoked by strong stock markets which pushed quarterly asset growth to an all-time high of £478bn. On a year-to-date basis, asset growth stands at 17%. And it’s not just stock performance driving assets higher – net flows accounted for around 20% of total growth.

Sales inevitably cooled after last quarter’s ISA-fuelled surge, but at £19.6bn gross and £7.1bn net, activity remained solid. Year-to-date net flows have already surpassed 2024’s total and more than doubled 2023’s – a sign of growing investor engagement despite the noise.

interactive investor topped the net sales table for the quarter with flows of £3.1bn thanks in part to the acquisition of execution-only stockbroker Jarvis’s D2C book, which shuttered shop in Q3. AJ Bell and Vanguard were in second and third place with £1.4bn and £1.3bn respectively. InvestEngine, though significantly smaller in asset terms, continues to punch above its weight, highlighting the benefits of its multiple routes to market and its combative approach to winning customers away from more established players like Hargreaves.

Top 5 platforms by gross and net sales animated chart:

Gemma Maher, Head of Market Insights at Fundscape said, “Business levels softened in Q3 as we expected, without the boost of the ISA season. However, resilient investors and a positive stock market, helped to pushed assets to record levels.

“Looking forward all eyes are focused on Rachel Reeves and her anticipated delivery of tax rises in the November budget. Therefore, we expect flows to soften as we near the end of the year. How long this goes on for depends on how painful the budget is. The industry is hoping – and planning – that she doesn’t give everyone the January blues by dealing customer sentiment a body blow.”

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Notes to Editors:

The Direct Matters report covers the direct market and is published by Fundscape. It has been running since Q121. For further information or background please contact: press@fundscape.co.uk

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