September Mutual Fund Flows Increase Sharply Over August

Stock and bond funds posted net inflows of $37.9 billion in September 2007- a sharp increase from the $1.76 billion inflow posted in August, according to data from the Financial Research Corporation (FRC).

By Morningstar category, Large Blend funds topped the list, posting net inflows of $6.5 billion for the month, followed by Intermediate-Term Bond funds with a $5.5 billion net inflow and Large Growth funds with a $5 billion net inflow.

International/Global funds led the way with net inflows of $20.5 billion, while Domestic Equity funds posted a $11.2 billion net intake, FRC data showed. Corporate funds placed a distant third with a net inflow of $4.7 billion.

Barclays Global Investors was the best selling fund group in September, winning a net $9.5 billion in new assets. State Street Global Advisors (SSgA) followed with a net inflow of $6.8 billion. American Funds ($5.1 billion), Vanguard Group ($4.2 billion), and Fidelity Distributors ($2.3 billion) rounded out the top five.

SSgA’s SPDR Trust fund topped the list of best selling funds taking in a net $5.4 billion, while the Dodge & Cox International Stock fund took in $2.6 billion in net inflows and Barclays iShares Russell 2000 Index fund post net inflows of $2.4 billion.

The FRC data can be found at