Investors pile into funds

The mutual fund industry posted strong sales in October, raking in between $2.4 billion to $2.9 billion in fresh investment, according to preliminary data released by the Investment Funds Institute of Canada.

“Net sales estimates are strong for October at $2.7 billion bringing the industry close to levels not seen since July,” said Pat Dunwoody, vice-president of member services and communications with IFIC. “Capital markets also performed well in October which contributed to the 1.14% increase in assets under management for the month.”

Total assets under management have climbed to between $706.9 billion and $711.9 billion, up from $701.4 billion in September.

Royal Bank posted the highest net sales for the month, reporting a staggering $913 million in new money. Running a distant second, among those fund companies that report to IFIC, is Dynamic, with $407 million in net inflows. TD Asset Management ranked third in the sales derby, with $319 million in new cash.

At the other end of the scale, AIM Trimark saw net redemption of $336 million, followed by AIC, with $146 million. Rounding out the bottom three was National Bank, with redemptions of $140 million.

Filed by Steven Lamb, Advisor.ca, steven.lamb@advisor.rogers.com