As mutual fund marketers and distributors try to discern where the growth areas will be in new fund product development and fund flows, they easily can be overwhelmed as they survey the current fund landscape. The number of mutual funds and ETFs has grown tremendously over the past two decades. Now there are over 12,000 different share classes of equity mutual funds and over 6,000 share classes of taxable bond funds. The fund industry, however, continues to create new products to diversify its asset base in hopes of generating additional revenue. Mutual fund marketing and distribution professionals, therefore, may need to narrow their focus in order to best place their efforts on some of the most compelling and growing segments for the remainder of 2014.
How Will the New Funds Invest?