by Tom Roseen.
Investors were net purchasers of mutual fund assets for the first month in three, injecting $50.0 billion into the conventional funds business (excluding ETFs, which are reviewed in the section below).
However, the headline numbers are a bit misleading. For the twenty-ninth consecutive month, stock & mixed-assets funds experienced net outflows (-$56.6 billion). With inflationary concerns still lingering and the possibility of another interest rate hike later this year, the fixed income funds macro-group—for the first month in four—witnessed net outflows but handed back just $602 million. Attractive short-term yields and continued uncertainty helped the money market funds macro-group (+$107.1 billion) attract net new money for the fourth straight month.
ETFs attracted net new money for the sixteenth consecutive month, taking in $14.2 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 sixteenth month in a row—injecting $4.9 billion into equity ETF coffers. For the nineteenth month running, they were net purchasers of bond ETFs—injecting $9.2 billion for the month. APs were net purchasers of three of the five equity-based ETF macro-classifications, padding the coffers of U.S. Diversified Equity ETFs (+$12.0 billion), World Equity ETFs (+$1.5 billion), and Mixed-Assets ETFs (+$29 million) while being net sellers of Sector Equity ETFs (-$7.5 billion) and Alternatives ETFs (-$1.2 billion).
In this report, I highlight the August 2023 fund-flows results and trends for both ETFs and conventional mutual funds (including variable annuity underlying funds).
Click here to download the August 2023 FundFlows Insight Report: U.S. Fund Investors Tap the Brakes 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.