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Amazing....especially this....."retail investors have withdrawn $214 billion from domestic equity mutual funds since the beginning of 2010. " So, after the fire ball run in 2009; which was really set in place, at least by simple charting around June, 2009; many folks took the money and ran.
Scott, I have not read the ICI report; and perhaps you have not, but if so or if you are aware; what does ICI consider as a "retail investor"? I know this is not just Mr/Mrs Public person. I ask about this as articles over the past year or so have noted pension funds and related large hoards of monies have moved some of the money to hedge funds.
As time allows for me to investigate, or if someone is able to provide what is inclusive to ICI in determining a retail investor, for their purposes of chunking the data.
A point on this that was discussed a few times at FA, is the beginning edges of some drawdowns by boomers. One must also consider that some retirement accounts have been drawn upon by those who have lost their work and really need the money to live and provide for the family. A big chunk may also be sitting in or has been moved to the "stable value" sections that exist in many employee retirement accounts.
Head scratch..............is the FED supporting the bellweather SP500; so that the machines or human traders don't head for the exits ???
ICI (Investment Company Institute) follows mutual fund inflows/outflows and ETF inflows/outflows. I'm not sure whether their attempts to follow ETF inflows/outflows are retail only, but their mutual fund inflows/outflows would be a good indicator of retail movement (whether retail is right or wrong is to be debated, but since 2009 (and moreso within the last year or so) there have been quite a few weeks of outflows from long-term domestic equity funds. Not as much overseas funds.
I definitely agree with your reasoning. I think some has moved to bonds, some has moved to ETFs, but the rest - ? (likely a number of different things, as you mentioned above.)
Personally, I continue to be invested in the same manner and am starting to lock up more and more of my investments with a 5+ year view. Personally (with the view that I could be wrong), I'm not in any fixed income-specific funds, but do have a couple of hybrid funds. I continue to have a mixture of emerging markets, real assets (commodities, infrastructure, natural resource names), alternative funds (which I have a good deal of) and a bucket of broader market investments.
Comments
Amazing....especially this....."retail investors have withdrawn $214 billion from domestic equity mutual funds since the beginning of 2010. "
So, after the fire ball run in 2009; which was really set in place, at least by simple charting around June, 2009; many folks took the money and ran.
Scott, I have not read the ICI report; and perhaps you have not, but if so or if you are aware; what does ICI consider as a "retail investor"? I know this is not just Mr/Mrs Public person. I ask about this as articles over the past year or so have noted pension funds and related large hoards of monies have moved some of the money to hedge funds.
As time allows for me to investigate, or if someone is able to provide what is inclusive to ICI in determining a retail investor, for their purposes of chunking the data.
A point on this that was discussed a few times at FA, is the beginning edges of some drawdowns by boomers. One must also consider that some retirement accounts have been drawn upon by those who have lost their work and really need the money to live and provide for the family. A big chunk may also be sitting in or has been moved to the "stable value" sections that exist in many employee retirement accounts.
Head scratch..............is the FED supporting the bellweather SP500; so that the machines or human traders don't head for the exits ???
Thank you, scott
I definitely agree with your reasoning. I think some has moved to bonds, some has moved to ETFs, but the rest - ? (likely a number of different things, as you mentioned above.)
Personally, I continue to be invested in the same manner and am starting to lock up more and more of my investments with a 5+ year view. Personally (with the view that I could be wrong), I'm not in any fixed income-specific funds, but do have a couple of hybrid funds. I continue to have a mixture of emerging markets, real assets (commodities, infrastructure, natural resource names), alternative funds (which I have a good deal of) and a bucket of broader market investments.