Flows to mutual funds worldwide were $150 billion in the third quarter of 2010, bringing total assets to $23.70 trillion, the Investment Company Institute said Thursday. The flows more than reversed the $91 billion in outflows the previous quarter.
Flows to long-term funds rose to $194 billion, up fro $156 billion the previous quarter. Bond funds took in $165 billion, up from the $106 billion they gained in the second quarter. Equity funds were hit with $21 billion in outflows, after flat flows in the second quarter.
Outflows from money market funds in the third quarter were $44 billion, down considerably from the $247 billion that investors redeemed from money funds in the second quarter and the average $271 billion that the funds have lost through outflows in the previous five quarter.
On a U.S. dollar-denominated basis, equity fund assets rose 14% to $9.4 trillion, balanced fund assets rose 13.7%, bond fund assets grew 10.5% and money fund assets rose by 2.5%.
Equity funds in the Americas has net outflows of $31 billion in the third quarter, up considerably from the $9 billion in net outflows the previous quarter. Equity funds in Europe and Asia were $5 billion apiece in the third quarter.
Bond funds reported $117 billion of inflows in the Americas, and $48 billion of inflows in Europe. In the second quarter, bond funds in the Americas took in $93 billion and in Europe, $12 billion.
Balanced funds in the Americas took in $21 billion in the third quarter, compared with $16 billion of net flows in the second quarter. European balanced funds took in $17 billion in the third quarter, compared with $27 billion of net inflows the previous quarter.
Money market funds in the Americas had $23 billion of net outflows in the third quarter, down from $172 billion the previous quarter. European investors redeemed $21 billion from money market funds in the third quarter and $65 billion in the second quarter.
Worldwide at the end of the third quarter, 40% of all mutual fund assets were in equity funds, 22% in bond funds, 11% in balanced funds, 19% in money market funds and 8% in other/unclassified funds. By region, 54% of worldwide assets are in the Americas, 33% in Europe and 13% in Africa and the Asia/Pacific region.