Bond Funds See Cash Outflow Double in May
From a Times Staff Reporter
U.S. mutual fund investors pulled a net $16.2 billion from bond funds in May, compared with a $7.8-billion outflow in April, data show.
Stock funds, by contrast, had a slim net cash inflow of $564 million last month, down from an inflow of $23 billion in April.
The data, reported Tuesday by the Investment Company Institute, the funds’ chief trade group, showed that investors turned cautious on bond and stock funds as long-term interest rates continued to rise in May and as oil prices surged.
Money market funds took in a net $6.5 billion in new cash.
