Putnam, Fidelity Hit With Large Withdrawals
November 14, 2005
Putnam Investments, one of the first companies to be embroiled in the mutual fund trading scandal, continues to pay the price for its involvement, as investors yanked another $1.8 billion from the fund complex in September, bringing its net outflows year-to-date to $15 billion. Putnam is now the ninth-largest U.S. mutual fund firm.
Fidelity was hit with the second-highest net withdrawals in September, seeing $881 million walk out the door during the month. Year-to-date, Fidelity has taken in a scant $3.4 billion in net flows.
Meanwhile, Vanguard, Fidelity's No.1 rival, is prospering, as it scored $34 billion in new money in just the first nine months of this year. Capital Group, another Fidelity rival, has taken in $61 billion in new money during the period.
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