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News Flash - Fund Assets Rise $82B In November, ICI Reports; YTD, Flows Top $200B


Assets under management in the mutual fund industry grew by $82.4 billion, or 1.2%, to $7.235 trillion in November, according to the Investment Company Institute.

The trade group's monthly survey of fund companies showed that long-term funds such as stock, bond and hybrid funds collectively had a new inflow of $15.42 billion last month, a drop-off from the $28.12 billion taken in during October. Through the first 11 months of the year, long-term funds had new inflows of $202.36 billion, a 66% increase from the same period the previous year.

Stock funds, while still in positive territory, saw inflows shrink to $14.92 billion in November, down from a year-high inflow of $25.31 billion in October. Bond funds saw their net outflows widen, as October's $1.29 billion outflow increased to $2.53 billion in November. Since July, outflows have been reflective of an environment of higher interest rates, which depress returns, according to the ICI.

Also in the month, hybrid funds saw $3.03 billion in inflows, down from $4.10 billion in October. The bleeding slowed down quite a bit for money market mutual funds, as net outflows of $22.07 billion in October, shrank to $7.69 billion in November. Money funds offered mainly to institutions had an inflow of $1.82 billion in the month, while funds offered primarily to individuals saw an outflow of $9.51 billion.

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