NEW YORK (Reuters) – Investors battered U.S.-based stock funds with the biggest withdrawals this year as wild trading disrupted the market’s summer calm, Investment Company Institute (ICI) data showed on Wednesday.
Equity mutual fund outflows of $9.9 billion compared with $1.4 billion of stock ETF withdrawals, based on ICI.
“Investors have favored international equity and bond fund strategies as options,” said Todd Rosenbluth, director of ETF and mutual fund research at CFRA.
Published at Wed, 23 Aug 2017 17:05:47 +0000
Yet two pullbacks of over one percent in S&P 500 index . SPX this month jolted markets after geopolitical tensions between the United States and North Korea and questions surrounding U.S. President Donald Trump’s administration bringing its economic agenda to fruition.
Funds that invest in commodities like gold pulled in $881 million, their best week since June.
Reporting by Trevor Hunnicutt; Editing by Meredith Mazzilli
Nearly $9.2 billion flowed from equity mutual funds and exchange-traded funds during the week through Aug. 16, with a 37th week of inflows for international shares only slightly offsetting $11.3 billion of withdrawals for domestic stocks, according to the trade group.
U.S. stocks remained on pace to deliver their ninth straight year of positive returns.