BOSTON (AP) - Investors withdrew money from stock mutual funds in September at the fastest pace of the year, while bond funds continued to attract cash.
Industry consultant Strategic Insight said Wednesday that investors withdrew a net $16 billion from U.S. stock funds. That was this year's largest monthly flow out of stock funds, eclipsing the $11 billion during August. Withdrawals have exceeded deposits each month since March.
An additional $1 billion was withdrawn last month from funds investing in foreign stocks.
Investors showed a preference for exchange-traded funds over mutual funds in September. Net deposits into stock ETFs totaled $33 billion, greater than the flow out of stock mutual funds.
Bond mutual funds attracted nearly $32 billion in net deposits during September, bringing the year-to-date total to $240 billion.