Despite the increasing number of securities fraud allegations at major fund shops, investors' doggedness in the face of adversity boosted stock funds to another strong performance last month.
Investors added an estimated $19.5 billion to equity funds in September, according to the latest monthly report from New York-based fund-tracking firm Lipper. While that number is down from the $26 billion in equity-fund inflows posted in August, it is still one of the best performances for equity funds in the last 18 months. That marks the seventh consecutive month of net inflows for equity funds, bringing the total up to $100 billion year-to-date. Overall, however, mutual funds gave up $31.2 billion in assets in September due to a large seasonal decline in money-market funds.