Fund Flows: Equity, Bond & Money Market Yearly Totals

Equity, Bond & Money Market Fund Flows - Yearly Totals & 2010 YTD

Weekly Data for 12/1/2010 

• Equity Fund outflows $1.2 Bil
• Taxable Bond Fund outflows $0.525 Bil
  xETFs:
• Equity Fund outflows $1.1 Bil
• Taxable Bond Fund outflows $0.109 Bil
• See bottom for a table of current US Treasury rates. 

This table shows a summation of the weekly fund flow data.  Money Market funds yield next to nothing so people have taken money out to buy bonds as well as live on during the recession and long recovery period with US unemployment still near 10%. 

I think many will be surprised at how quickly equities go up in value once interest rates start to climb and people dump bond funds that start to lose money.  The money will flow into what is hot, which will be equities and that will probably drive the next bubble.  My explore portfolio gained 33.5% last year with a tiny $6.0B net inflow into equities.  This year the portfolio is up another 13.6% with another tiny net inflow of $7.3B so far.   The returns could spin your head if we see significant fund flows back into equities like we saw between 2003 and 2007.

Fund Flow Totals for 2010 through 12/1/10 

Table 1	AMG Fund Flows for Full Year - $B
Fund Flows for	Equity	Tax Bond	MM Fund
2003	40.8	40.7	NC
2004	95.0	11.3	(64.3)
2005	71.9	9.3	89.0
2006	52.5	29.9	308.3
2007	111.3	68.8	569.5
2008	3.5	(3.3)	608.0
2009	6.0	172.0	(280.2)
2010	7.3	146.0	(394.0)

• NC = Data Not Compiled
•  += Some data points for Money Market Fund flows between March 2010 and July 14, 2010 are missing but the overall trend is clear. 
• Raw data from AMG Weekly Fund Flows Data:

"  ExETFs—For the week ended 12/01/2010 all Equity funds report net outflows totaling $1.128 billion, with Domestic Equity funds reporting net outflows of $1.218 billion and Non-Domestic Equity funds reporting net inflows of $0.090 billion... ExETFs—Emerging Markets Equity funds report net inflows of $0.394 billion, the group’s twenty-sixth consecutive week of positive flows...  Net outflows are reported for All Taxable Bond funds (-$0.525 billion), bringing the rate of inflows of the $2.725-trillion sector to $4.236 billion/week...  International & Global Debt funds (+$0.129 billion) continued to draw assets as they reported inflows for the twenty-seventh consecutive week...  Net outflows of $0.723 billion were reported for Corp-High Yield funds... Flexible funds reported net inflows of $0.295 billion…  Money Market funds report net inflows of $7.943 billion...  ExETFs—Municipal Bond funds report net outflows of $0.525 billion, their third consecutive week of outflows...   "

More Info:

• Current Treasury Rates at a Glance
• US Treasury Rate Quotes

Since 12/31/98 "Kirk's Newsletter Explore Portfolio" is UP 195% (a double plus another 95%!!) vs. the S&P500 UP only 21% vs. NASDAQ  UP a only 18%   (All through 12/2/10) 

In 2009, "Kirk's Newsletter Explore Portfolio" gained 33.5% vs. the DJIA up 18.8%
2010 YTD the "Explore Portfolio" is up 13.6% YTD

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U.S. Treasury Rates as of Dec. 2, 2010

TERM	COUPON	PRICE / YIELD%
3-Month	0.000	0-04 / 0.15
6-Month	0.000	0-05 / 0.19
12-Month	0.000	0-08 / 0.27
2-Year	0.500	99-29½ / 0.54
3-Year	0.500	99-00+ / 0.84
5-Year	1.375	98-19 / 1.67
7-Year	2.250	99-08+ / 2.36
10-Year	2.625	96-28+ / 2.99
30-Year	4.250	99-29½ / 4.25

Current:

Treasury Rates at a Glance