Investors withdrew $43.8 billion from taxable-bond funds and $16.4 billion from municipal-bond funds, making June the worst month on record for bond funds in terms of total outflows, according to Morningstar.
Intermediate-term bond funds also redeemed $24.4 billion in June, led by outflows of $9.6 billion from the PIMCO Total Return Fund (PTTRX). DoubleLine’s Total Return Fund (DBLTX) also saw redemptions of $1.2 billion, its first monthly outflow, according to Morningstar.
International-equity and alternative funds fared better in June experiencing net inflows. Among international-equity funds, the Gold-rated Oakmark International Fund (OAKIX), collected $753 million. According to Morningstar, the Oakmark fund has doubled in size in the last year, raking in nearly $5.0 billion.
All told, long-term funds overall shed $47.3 billion, the largest monthly outflow since $105.6 billion in October 2008.