In a news release, Strategic Insight noted that International equity funds led mutual fund flows in early 2007, as they did in 2006. In February, international equity fund flows netted about $20 billion, below their $27 billion record in January, the news release said.
Bond fund flows in February neared $14 billion.
U.S. equity and balanced fund net flows hit their highest
monthly amount since 2004 at $20 billion during February.
“These record net flows early in 2007 mirror an extraordinary confidence in mutual funds, and suggest that the periodic fluctuations in stock prices worldwide, unless spiraling downward, will not reverse fund investor attitudes and choices in the near term,” Avi Nachmany, Strategic Insight’s Director of Research, said in the release.