latest-news-headlines Market Intelligence /marketintelligence/en/news-insights/latest-news-headlines/high-yield-bond-news/high-yield-bond-funds-see-cash-outflow-as-etfs-take-hit content esgSubNav
In This List

High Yield Bond Funds See Cash Outflow as ETFs Take Hit

S&P: BBB downgrade risks in Europe look manageable

Churchill Downs announces $400M of eight-year notes for debt refi

Judge dismisses Marble Ridge claims over Neiman's MyTheresa transfer

Affinion receives consents for recap, covenant elimination


High Yield Bond Funds See Cash Outflow as ETFs Take Hit

high yield fund flows

U.S. high-yield funds recorded an outflow of $175 million for the week ended July 27, according to the weekly reporters to Lipper only. This was the first net outflow after three weeks of inflows totaling $6.5 billion.

The influence of ETFs was again significant this week. The net outflow figure was based on inflows of $336 million to mutual funds buffeted by outflows of $512 million from ETFs. Last week featured a similar pattern, but ETF outflows of $518 million didn’t technically overflow the mutual fund inflow of $839 million.

The net outflow doesn’t ratchet the four-week-trailing figure because a large outflow five weeks ago falls out of the calculation. The figure rises to positive $1.6 billion per week—the largest in 18 weeks—from positive $1.2 billion last week.

The year-to-date total inflow is now $9.5 billion, with 39% ETF-related. A year ago at this juncture, the inflow was just $849 million and 39% ETF-related.

The change due to market conditions this past week was negative $417 million, which is negligible against the $198 billion of total assets at the end of the observation period. The ETFs account for about 21% of the total, at $41.8 billion. — Matt Fuller

Follow Matthew on Twitter @mfuller2009 for leveraged debt deal-flow, fund-flow, trading news, and more.

Follow LCD News on Twitter.

This story first appeared on www.lcdcomps.com, an offering of S&P Global Market Intelligence. LCD’s subscription site offers complete news, analysis and data covering the global leveraged loan and high yield bond markets. You can learn more about LCD here.