Spooky Markets Don't Frighten Fund Investors
Fund families see net new money in growth funds despite volatility.
Aggressive-growth stocks and the funds that buy them have been more of a trick than a treat for investors over the trailing one- and three-month periods, but, judging from recent fund-flow estimates from major fund companies, that has not spooked mutual-fund investors.
Despite the volatility of recent weeks, officials at T. Rowe Price's (TROW) and Charles Schwab's (SCH) mutual-fund marketplaces say investors still have sent more money into growth and technology funds than they have taken out in October. Fidelity Investments, the world's biggest fund family, also reported strong sales of growth funds this month. Janus Capital of Denver, which saw outflows last month, could not provide fund-flow estimates for October as of press time.
Dan Culloton does not own (actual or beneficial) shares in any of the securities mentioned above. Find out about Morningstar’s editorial policies.