Cash outflows from bank loan funds declined to $443.1 million for the week ending Jan. 29, according to Lipper. That’s down from $738.1 million last week and $593.7 million two weeks ago.
Inflows from exchange-traded funds, at $11.2 million, slightly offset mutual fund withdrawals of $454.3 million. This is only the second ETF inflow in the last 16 weeks, according to Lipper, but the latest ETF outflows have been negligible. Recall that ETFs were very heavy, at 18% of the big withdrawal six weeks ago, and that was anomalous to almost every other reading during the year.
The latest outflow represents the 29th consecutive weekly withdrawal and the 40th outflow in 42 weeks, for a net redemption of $26.5 billion over that span.
The trailing four-week average moderates to negative $537 million for the week, from negative $684 million last week and negative $821 billion two weeks ago. The observation five weeks ago, at $1.3 billion, was the deepest in roughly 3.5 years, or since the week ended Aug. 31, 2011.
The net $2.1 billion outflow for the first four weeks of the year, with 3% ETF-related, is in contrast to last year, which showed a net inflow of $3.4 billion for the same period, with 10% ETF-related. For the full-year 2014, outflows were roughly $17.3 billion, with ETFs representing about 3% of that total, or $516 million.
In today’s report, the change due to market conditions was slightly negative, at $31.7 million, or -0.04% of total assets, which were $86.7 billion at the end of the observation period. The ETF segment comprises $6.7 billion of the total, or approximately 8%. – Joy Ferguson