Trends in Mutual Fund Investing
September 2009
Washington, DC, October 29, 2009 - The combined assets of the nation’s mutual funds increased by $211.8 billion, or 2.0 percent, to $10.824 trillion in September, according to the Investment Company Institute’s official survey of the mutual fund industry. In the survey, mutual fund companies report actual assets, sales, and redemptions to ICI.
Total Net Assets of Mutual Funds
Billions of dollars
| Sept 09 | Aug 09 | % chg | Dec 08 | |
| Stock Funds | 4,718.4 | 4,510.9R | 4.6 | 3,704.5 |
| Hybrid Funds | 606.0 | 576.4R | 5.1 | 498.7 |
| Taxable Bond Funds | 1,626.0 | 1,553.4R | 4.7 | 1,228.0 |
| Municipal Bond Funds | 448.6 | 419.8R | 6.9 | 337.7 |
| Taxable Money Market Funds | 3,008.2 | 3,112.3R | -3.3 | 3,340.8 |
| Tax-Free Money Market Funds | 417.2 | 439.8R | -5.1 | 491.5 |
| Total | 10,824.3 | 10,612.5R | 2.0 | 9,601.2 |
R=Revised data
Highlights: Long-term funds — stock, bond, and hybrid funds — had a net inflow of $47.52 billion in September, vs. an inflow of $50.17 billion in August.
Stock funds posted an outflow of $10.53 billion in September, compared with an inflow of $4.00 billion in August. Among stock funds, world equity funds (US funds that invest primarily overseas) posted an inflow of $722 million in September, vs. an inflow of $5.93 billion in August. Funds that invest primarily in the US had an outflow of $11.25 billion in September, vs. an outflow of $1.93 billion in August.
Hybrid funds posted an inflow of $10.60 billion in September, compared with an inflow of $3.14 billion in August.
Bond funds had an inflow of $47.45 billion in September, compared with an inflow of $43.03 billion in August. Taxable bond funds had an inflow of $37.33 billion in September, vs. an inflow of $33.99 billion in August. Municipal bond funds had an inflow of $10.12 billion in September, compared with an inflow of $9.04 billion in August.
Money market funds had an outflow of $127.52 billion in September, compared with an outflow of $53.82 billion in August. Funds offered primarily to institutions had an outflow of $90.21 billion. Funds offered primarily to individuals had an outflow of $37.30 billion.
Net New Cash Flow of Long-term Funds
Millions of dollars
Stock Mutual Funds
| September 2009 | August 2009 | YTD 2009 | YTD 2008 | |
| New Sales | 87,579 | 89,849R | 766,075 | 1,026,320R |
| Redemptions | -88,775 | -86,368R | -739,953 | -1,092,923R |
| Exchanges In | 11,800 | 13,770R | 119,022 | 146,098R |
| Exchanges Out | -21,137 | -13,252R | -140,839 | -200,037R |
| Net New Cash Flow | -10,533 | 3,998R | 4,305 | -120,542R |
Hybrid Mutual Funds
| New Sales | 13,091 | 11,815R | 90,144 | 111,321R |
| Redemptions | -10,291 | -9,136R | -82,664 | -103,033R |
| Exchanges In | 9,330 | 1,911R | 23,686 | 14,999R |
| Exchanges Out | -1,533 | -1,451R | -17,233 | -20,199R |
| Net New Cash Flow | 10,596 | 3,139R | 13,933 | 3,088R |
Taxable Bond Mutual Funds
| New Sales | 66,525 | 66,114R | 519,674 | 361,571R |
| Redemptions | -32,526 | -34,531R | -330,906 | -316,840R |
| Exchanges In | 8,309 | 8,358R | 97,867 | 70,636R |
| Exchanges Out | -4,975 | -5,954R | -73,633 | -46,540R |
| Net New Cash Flow | 37,333 | 33,988R | 213,002 | 68,827R |
Municipal Bond Mutual Funds
| New Sales | 15,550 | 13,841R | 100,962 | 75,838R |
| Redemptions | -6,388 | -5,669R | -53,662 | -58,317R |
| Exchanges In | 1,984 | 1,924R | 18,494 | 15,876 |
| Exchanges Out | -1,026 | -1,053R | -11,143 | -11,740R |
| Net New Cash Flow | 10,120 | 9,044R | 54,651 | 21,657 |
Net New Cash Flow of Money Market Funds
Millions of dollars
| September 09 | August 09 | YTD 2009 | YTD 2008 |
| -127,514 | -53,816R | -418,765 | 256,466R |
Liquid Assets of Stock Mutual Funds
Percent of total net assets
| Sept 09 | August 09 | Sept 08 |
| 3.8% | 4.0% | 4.7% |
Annual Redemptions from Stock Funds
Percent of average net assets*
| Sept 09 | August 09 | Sept 08 |
| 23.5% | 23.6%R | 25.4%R |
*Redemptions over the most recent twelve-month period as a percent of average of total net assets at beginning and ending of period.
Annual Redemptions and Redemption Exchanges from Stock Funds
Percent of average net assets*
| Sept 09 | August 09 | Sept 08 |
| 28.15 | 30.78 | 29.98 |
*Redemptions and Redemption Exchanges over the most recent twelve-month period as a percent of average of total net assets at beginning and ending of period.
Number of Mutual Funds in this Report
| Sept 09 | August 09 | Sept 08 | |
| Stock Funds | 4,698 | 4,719R | 4,838 |
| Hybrid Funds | 479 | 499 | 480R |
| Taxable Bond Funds | 1,247 | 1,259R | 1,287R |
| Municipal Bond Funds | 599 | 603 | 645 |
| Taxable Money Market Funds | 486 | 491 | 541R |
| Tax-free Money Market Funds | 232 | 233 | 253 |
| Total | 7,741 | 7,804R | 8,044R |
R=Revised data
ICI Members: For information about data, call 202-326-5800, ask for Statistical Services. To obtain data electronically, contact Lee Butler 202-326-5931. To subscribe to this report, call Member Services at 202-326-5965.
