FYI: Investors (including those of conventional mutual funds and ETFs) injected a net $528.4 billion into the funds business—$144.8 billion into equity funds, $286.5 billion into taxable bond funds, $25.6 billion into municipal bond funds, and $71.5 billion into money market funds.
A deeper dive into the numbers showed a fund-flows dichotomy between mutual fund investors and authorized participants (APs, the market makers responsible for creating and destroying ETF shares and the only source of ETF flows) for the year. While the average equity fund returned an eye-popping 20.38% (the strongest one-year return since 2013), mutual fund (ex-ETF) investors were net redeemers of equity funds, withdrawing some $120.7 billion.
Regards,
Ted
