Mutual fund liquidations have risen within the first six months of 2013 compared to the same period last year. And if the current trend of redemptions continue from both equity and bond funds, then fund providers are in for another bumpy ride in the second half.
According to data from Morningstar, there were 248 fund liquidations year-to-date through June 27 compared to 240 for the same period in 2012. The number of taxable bond funds liquidated through June more than doubled to 24 from 11 last year. Municipal bond funds fared even worse with 21 liquidations this year versus three for last year.