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BOSTON - The record volatility seen earlier this month in U.S. stocks ended after four days. The anxiety it instilled among mutual- fund investors may linger for years. Investors pulled a net $23.5 billion from U.S. equity funds in the week ended Aug. 10, the most since October 2008, when markets were reeling from the collapse a month earlier of Lehman Brothers Holdings, the Investment Company Institute said. The period tracked by the Washington-based trade group included three of the unprecedented four consecutive days in which the Standard & Poor's 500 Index rose or fell by at least 4 percent.
Investors dump stock funds after big sell-off in August NEW YORK (AP) -- Investors are turning negative again on stock mutual funds after the huge sell-off in the beginning of August. They took out a net $3.2 billion from stock funds while adding just $295 million to bond funds in the week ended Aug. 24, the Investment Company Institute said Wednesday.
In 2008, the exchange-traded fund (ETF) industry experienced its first major fall in assets since the first ETF began trading in 1993. According to the Investment Company Institute (ICI), a national association representing US investment companies, in November 2008, US ETFs held combined assets of $478 billion, a significant drop from the November 2007 level of $572 billion. One ETF sector that continues to shift with the times is commodities. Commodity-linked ETFs saw some significant moves, reflecting investor appetite for risk and reward in various markets. Some major shifts also occurred in international emerging market ETFs. Despite receiving significant coverage in mainstream media, ETFs continue to be a fraction of the size of the overall mutual fund industry. ETFs proved to be u...
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