Move from Active to Passive Funds Slows in November

401k, mutual funds, retirement, passive funds

A reprieve of sorts for active managers.

The spigot was turned back in November, as the ongoing flow from active to passive mutual funds took a bit of a holiday breather.

After more than doubling their inflow amount the previous month, investors placed $16.6 billion into passive equity funds, compared with October’s $27.6 billion inflow, according to Morningstar.

Active flows were also smaller in November than they were in October, and investors pulled $17.9 billion out of active equity funds, compared with $18.8 billion in the previous month.

Highlights from the report include:

The Chicago-based research firm estimates net flow for mutual funds by computing the change in assets not explained by the performance of the fund and net flow for ETFs by computing the change in shares outstanding.

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