CHICAGO, May 16, 2016 /PRNewswire/ -- Morningstar, Inc.
(NASDAQ: MORN), a leading provider of independent investment research, today reported estimated U.S. mutual fund and exchange-traded fund (ETF) asset flows for
April 2016. Investors continued to gravitate toward fixed income in April, adding $22.8 billion to taxable-bond funds and $5.9 billion to municipal-bond funds.
Meanwhile, all equity category groups sustained outflows on the heels of weak U.S. corporate earnings and a disappointing
employment report. Active equity funds bore the brunt of these outflows. Morningstar 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.
Highlights from Morningstar's report about U.S. asset flows in April:
- International-equity funds posted their first outflow since October 2014. Although
international-equity flows had been positive until April, they have significantly decreased and are well below the inflow
levels seen in the first half of 2015.
- American Funds overtook Fidelity in April to become the second-largest fund company in terms of assets under management,
after Vanguard. American Funds and Vanguard were the only firms with sizable active-fund inflows; Vanguard, iShares, DFA, and
Fidelity enjoyed passive inflows.
- Intermediate-term bond held on to its spot as the Morningstar Category with the highest inflows for another month, followed
by large blend, which was buoyed by inflows to Vanguard Total Stock Market Index, which has a Morningstar Analyst Rating™ of Gold, and iShares MSCI USA Minimum
Volatility. After a $10.7 billion inflow in March, high-yield bond disappeared from the list of
top-flowing categories in April.
- Metropolitan West Total Return Bond, which has a Gold Morningstar Analyst Rating, reclaimed its spot as the active fund
with the greatest monthly inflows after a notable absence. Each of the five top-flowing passive funds were Vanguard
offerings.
To view the complete report, please visit http://www.global.morningstar.com/aprilflows16. For more information about Morningstar Asset Flows, please visit
http://global.morningstar.com/assetflows.
The information contained herein: (1) is proprietary to Morningstar and/or its content providers; (2) may not be copied or
distributed; and (3) is not warranted to be accurate, complete, or timely. Neither Morningstar nor its content providers are
responsible for any damages or losses arising from any use of this information. Past performance is no guarantee of future
results.
About Morningstar, Inc.
Morningstar, Inc. is a leading provider of independent investment research in North
America, Europe, Australia, and Asia. The company offers an extensive line of products and services for individual investors, financial
advisors, asset managers, and retirement plan providers and sponsors. Morningstar provides data on approximately 525,000
investment offerings, including stocks, mutual funds, and similar vehicles, along with real-time global market data on nearly 18
million equities, indexes, futures, options, commodities, and precious metals, in addition to foreign exchange and Treasury
markets. Morningstar also offers investment management services through its investment advisory subsidiaries, with more than
$180 billion in assets under advisement and management as of March 31,
2016. The company has operations in 27 countries.
Analyst Ratings are subjective in nature and should not be used as the sole basis for investment decisions. Analyst Ratings
are based on Morningstar analysts' current expectations about future events and therefore involve unknown risks and uncertainties
that may cause Morningstar's expectations not to occur or to differ significantly from what was expected. Morningstar does not
represent its Analyst Ratings to be guarantees nor should they be viewed as an assessment of a fund's or the fund's underlying
securities' creditworthiness. This press release is for informational purposes only; it should not be considered an offer or
solicitation to buy or sell the mutual funds noted within.
©2016 Morningstar, Inc. All Rights Reserved.
MORN-R
Media Contact:
Carling Spelhaug, +1 312 696-6150 or carling.spelhaug@morningstar.com
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SOURCE Morningstar, Inc.