Best-selling funds, Investment Trusts and ETFs of July 2026

What happened in the markets in July 2026?

July's semiconductor sell-off rattles markets, but UK investors keep buying the dip

July's best-selling funds, investment trusts and ETFs revealed a market in two minds: a near-30% semiconductor sell-off collided with the FTSE 100's best month of the year, up 3.7%, as renewed conflict in Iran pushed oil briefly above $100 a barrel.

The PHLX Semiconductor index fell almost 30% between late June and the end of July as investors questioned AI valuations - even as TSMC's profits rose 77% and SK Hynix's jumped six-fold. The MSCI World rose just 0.5%, the S&P 500 was flat, and UK gilt yields crept higher despite the Bank of England holding rates.

Investors responded with caution: cash funds topped the net-seller lists on two platforms for a second straight month, with yields of 3.5–4% still attractive against the volatility, while appetite for US-focused funds shrank to just three names across all four platforms.

What were investors buying in July?

Across AJ Bell, Fidelity, Hargreaves Lansdown and interactive investor, these were the most popular funds, Investment Trusts and ETFs purchased.

Popular funds:

• Vanguard FTSE Global All Cap Index

• Fidelity Index World

• HSBC FTSE All World Index C Acc

Investment Trusts:

• Scottish Mortgage

• Polar Capital Technology

• Henderson Far East Income

ETFs:

• Vanguard FTSE All-World UCITS ETF USD (VWRP)

• Vanguard FTSE All-World UCITS ETF Dist (VWRL)

• Vanguard S&P 500 UCITS ETF USD Acc (VUAG)

• Vanguard S&P 500 UCITS ETF USD(GBP) (VUSA)

• iShares Physical Gold ETC (SGLN)

• Invesco Markets II Plc FTSE All-World UCITS ETF USD Accumulation (FWRG)

• VanEck Semiconductor UCITS ETF (SMGB)

What does this mean for investors?

July's numbers show a market hedging its bets - buying the AI dip through global trackers and semiconductor ETFs, while building cash positions and rotating into UK, Asia and Japan-focused trusts as the AI trade wobbled.

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• Detailed fund performance across all platforms

• Platform-by-platform best-seller breakdowns

• Investment trust and ETF rankings

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This monthly analysis examines the most popular investments purchased across the UK's leading platforms, providing unique insights into retail investor behaviour and market sentiment.