Mutual funds and exchange-traded funds ETFs saw redemptions of $7.0 billion the week ended April 24. Only fixed income funds, attracting some $4.8 billion, saw inflows, according to Lipper data.
Equity funds saw $7.3 billion in redemptions and money market funds and municipal debt funds witnessed net redemptions of $4.4 billion and $100 million respectively. Equity ETFs witnessed net outflows of $8.4 billion.
Lipper's Head of Research Services Tom Roseen attributed the redemptions to some mixed market data. “Investors appeared to be having a difficult time judging the earnings season, with some of the wild swings being caused by conflicting Q1 earnings reports,” he wrote.
“According to Thomson Reuters Proprietary Research Team, with 108 of the S&P 500 constituents reporting Q1 earnings thus far, 68% have beaten analyst estimates, but many have missed sales expectations. During the week investors learned that the U.S. leading indicators fell in March for the first time in seven months, the Philadelphia manufacturing index decreased to 1.3 in April, and new durable goods orders fell 5.7% in March.”