Equity, Bond Fund Inflows Set Records in January

February 18, 2004 (PLANSPONSOR.com) - January inflows into equity and balanced mutual funds (open-end, closed-end, funds underlying variable annuities, and ETFs) ran at the fastest monthly pace ever, rising to about $60 billion, according to a new research report.

Strategic Insight (SI) said in a news release that January’s performance outpaced the prior record of $56 billion in February 2000.   These gains come on the heels of an estimated $233 billion captured by such funds for all of 2003 .

Tacking on “modest” bond fund inflows to equity fund results, January also produced the highest ever monthly pace of long-term fund inflows, which Strategic Insight estimated at $63 billion. That, according to the announcement, was about 50% higher than the previous monthly record.

Combining strong inflows and NAV appreciation, SI estimates that during February 2004, total assets managed by all types of mutual funds (open-end, closed-end, funds underlying variable annuities, and ETFs) broke the $8 trillion mark, another all-time record .

“Investors are increasing their commitment to mutual funds where transparency, flexibility, access, and liquidity are available to everyone, not just a selected group of the wealthy class,” asserted Avi Nachmany, Strategic Insight’s Director of Research.

For more information, go to  www.sionline.com .

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