Tom Roseen
September 16, 2022

Fund and ETF Investors Give World Equity Funds the Cold Shoulder in August

by Tom Roseen.

Investors were net redeemers of mutual fund assets for the eighth month in a row, redeeming $55.3 billion from the conventional funds business (excluding ETFs, which are reviewed in the section below) for August. For the seventeenth month running, stock & mixed-assets funds experienced net outflows (-$48.9 billion). Despite the 10-year Treasury yield rising 48 basis points (bps) during the month, the fixed income funds macro-group—for the first month in nine—witnessed net inflows, taking in $1.9 billion. Money market funds (-$8.2 billion) witnessed net outflows for the first month in three.

For the fourth consecutive month, ETFs attracted net new money, taking in $40.5 billion for August. Authorized participants (APs—those investors who create and redeem ETF shares) were net purchasers of stock & mixed-assets ETFs—also for the fourth month in a row—injecting $26.6 billion into equity ETF coffers. For the seventh month in a row, they were net purchasers of bond ETFs—injecting $13.9 billion for the month. APs were net purchasers of four of the five equity-based ETF macro-classifications, padding the coffers of U.S. Diversified Equity ETFs (+$22.1 billion), Alternatives ETFs (+$3.5 billion), Sector Equity ETFs (+$1.1 billion), and Mixed-Assets ETFs (+$297 million), while being net sellers of World Equity ETFs (-$321 million).

In this report, I highlight the August 2022 fund-flows results and trends for both ETFs and conventional mutual funds (including variable annuity underlying funds).

Highlights:

  • For the eighth straight month, mutual fund investors were net redeemers of fund assets, withdrawing $55.3 billion from conventional funds for August.
  • Fixed income funds (+$1.9 billion for August) witnessed net inflows for the first month in nine, while money market funds (-$8.2 billion) suffered net redemptions for the first month in three.
  • For the seventeenth straight month, investors were net sellers of stock & mixed-assets funds (-$48.9 billion).
  • APs were net purchasers of ETFs, injecting $40.5 billion for August.
  • And, for the seventh straight month, fixed income ETFs (+$13.9 billion for August) witnessed net inflows while investors were net purchasers of stock & mixed-assets ETFs (+$26.6 billion).
  • World equity ETFs (-$321 million) suffered their first monthly redemption in 27.

Click here to download the August 2022 FundFlows Insight Report: Fund and ETF Investors Give World Equity Funds the Cold Shoulder in August.

Refinitiv Lipper delivers data on more than 330,000 collective investments in 113 countries. Find out more.

Join a growing community of asset managers and stay up to date with the latest research from Refinitiv and partners to help you inform your investment decisions. Follow our Asset Management LinkedIn showcase page.

Get In Touch

Subscribe

Related Reports

Volatility and uncertainty seem to be re-emerging back into the markets. Key policymakers ...

During Refinitiv Lipper's fund-flows week ended September 28, 2022, investors were ...

For the Refinitiv Lipper fund-flows week ended September 21, 2022, money market funds was ...

Lipper Alternative Event Driven Funds (AED) are funds that, by prospectus language, seek ...

We have updated our Privacy Statement. Before you continue, please read our new Privacy Statement and familiarize yourself with the terms.×