CHICAGO, June 11 /PRNewswire-FirstCall/ -- Morningstar,
Inc. (Nasdaq: MORN), a leading provider of independent investment
research, today reported estimated U.S. mutual fund and
exchange-traded fund asset flows through May
2010. Redemptions of nearly $15.0
billion from domestic-equity funds, the largest monthly
outflow since March 2009, contributed
to outflows of $13.2 billion for all
long-term mutual funds in May. The European economic woes that
dominated the headlines throughout the month brought an end to 13
consecutive months of steady inflows for international-stock funds.
The asset class saw outflows of nearly $6.0
billion in May. Despite the market malaise, U.S. ETFs saw
inflows of $4.8 billion in May,
bringing year-to-date net inflows to $24.7
billion. The ETF industry had roughly $792.6 billion in assets as of the end of
May.
Additional highlights from the report on mutual
funds:
- While most bond categories saw positive flows in May, all but
34 of the 146 high-yield bond funds registered outflows in May. A
total of $6.3 billion exited the
category in May, which is the largest monthly outflow since
Morningstar began keeping record in 1998. Conversely, short-term
bond funds attracted $4.0 billion in
new assets during the month.
- Record flows into emerging-markets bond funds suggest that
investor perception about the risks of emerging-markets debt has
changed. Flows into emerging-markets bond funds have increased
steadily since mid-2009.
- Although money market funds saw outflows of $20.6 billion in May, the pace of redemptions
slowed significantly.
- Excluding target-date funds, approximately 80 new funds have
launched in 2010. Managed by star fixed-income manager Jeffrey Gundlach, the top newcomer is DoubleLine
Total Return, which has amassed total net assets of $610 million since its early April debut.
Additional highlights from the report on ETFs:
- Commodities, with more than $5.6
billion in net inflows, topped all ETF asset classes in May.
SPDR Gold Shares GLD, which has about $50
billion in total net assets and holds more than 1,200 tons
of gold bullion, led the way.
- United States Oil USO gathered assets of $751 million in May, as the daily headlines on
the oil spill in the Gulf of
Mexico sparked newfound interest in speculating on
crude.
- Taxable-bond ETFs saw inflows of $2.3
billion in May, led by iShares Barclays 1-3 year Treasury
Bond SHY with $906 million in net
inflows.
- Domestic equity was the only asset class among ETFs to
experience net redemptions in May, with outflows of $4.7 billion.
To view the complete report, please visit
http://www.global.morningstar.com/mayflows10. For more information
about Morningstar Fund Flows, please visit
http://global.morningstar.com/fundflows.
About Morningstar, Inc.
Morningstar, Inc. is a leading provider of independent
investment research in North
America, Europe,
Australia, and Asia. The company offers an extensive line of
Internet, software, and print-based products and services for
individuals, financial advisors, and institutions. Morningstar
provides data on approximately 350,000 investment offerings,
including stocks, mutual funds, and similar vehicles, along with
real-time global market data on more than 4 million equities,
indexes, futures, options, commodities, and precious metals, in
addition to foreign exchange and Treasury markets. The company has
operations in 20 countries and minority ownership positions in
companies based in two other countries.
©2010 Morningstar, Inc. All rights reserved.
Media Contact:
Carling Spelhaug, 312-696-6150 or
carling.spelhaug@morningstar.com
MORN-R
SOURCE Morningstar, Inc.