Investors pulled out of bond funds for the first time in more than a year and a half, while equity funds gained ground in July, according to recent data from the Investment Company Institute.

Bonds saw $10.84 billion in net outflows in the month, dipping into negative territory and falling well short of the $5.12 billion in inflows in June. The outflow comes amid rising interest rates, consistent with historic trends when rates elevate, according to ICI Senior Economist Brian Reid.

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