Fidelity International, the London-based affiliate of US-based Fidelity Investments, is expecting its equity portfolio managers to prepare for outflows as falling stock markets drive investors to redeem their investments with fund management groups.

The company is recommending its fund managers to hold as much as 2% of their assets in cash to pay back clients in the event of demand for redemptions, Nicky Richards, chief investment officer at the company said in an interview with Bloomberg.