Bonds draw cash, emerging market funds bleed: EPFR

NEW YORK (Reuters) – A increasing aversion to risky assets in the latest week fueled the biggest flows to global durance funds in more than three months, and turned in addition investors away from emerging market public funds, according to EPFR Global.

U.S. cord funds led the group, with distinguished-yield corporate debt funds taking in specie for a 12th straight week notwithstanding a 2011 total of more than billion, said EPFR, whose data week ended Wednesday, February 23.

Emerging and global promissory note funds have consistently stayed in focus for investors since last year, at the time that both categories set records for coin inflows. So far this year, the sectors own seen inflows of 4 percent and 2.6 percent, particularly, of those garnered last year.

Investors seeking safer effects for the fifth week pulled money out of emerging market funds, to what confidence has been buffeted by civic unrest in the Middle East and arctic Africa. As a result of tumult, the possibility of inflation has tend hitherward more sharply into focus, EPFR uttered.

With more than billion leaving emerging mart stock funds since mid-January, it is the longest revolution of time of outflows since the financial conjuncture deepened in September 2008.

Energy funds benefited in the manner that greater uncertainty in oil-producing regions pushed prices higher.

Investors poured else than billion to energy sector funds in the week, bringing their year-to-time total to 149 percent of that seen in 2010, EPFR related. Commodity sector funds have taken in closely billion this year, it added.

Flows into developed emporium equity funds dried up after seven weeks, similar to redemptions in U.S. and Pacific portfolios outweighed inflows to Europe, Japan and Global public funds.

“There is a general apprehension that European and Japanese manufacturers and consumers are more completely at coping with high energy prices than their U.S. counterparts,” Cameron Brandt, EPFR’s global superintendent of research, said in a relation.

(Editing by Kenneth Barry)

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BofA to ~ing retirement assets through Merrill

http://www.nathanhamm.gin/news/bofa-to-harvest-retirement-effects-through-merrill/ http://www.nathanhamm.net/news/bofa-to-harvest-retirement-effects-through-merrill/#comments Fri, 25 Feb 2011 20:01:01 +0000 Nathan Hamm News assets BofA harvest Merrill retirement through http://www.nathanhamm.without deductions/news/bofa-to-harvest-retirement-property -through-merrill/ CHARLOTTE, North Carolina (Reuters) – Bank of America Corp. is ~t any Fidelity Investments when it comes to retreat accounts, but it boosted retirement assets under management by nearly 10 percent extreme year and is gunning for besides by guiding bank … Continue version →

CHARLOTTE, North Carolina (Reuters) – Bank of America Corp. is ~t any Fidelity Investments when it comes to seclusion accounts, but it boosted retirement estate under management by nearly 10 percent hindmost year and is gunning for greater degree of by guiding bank depositors to Merrill Lynch advisers and its strange online brokerage channel.

BofA managed 5 billion in corporate and individual retirement accounts and allowance plans at the end of 2010, up from 9 billion 12 months earlier.

Like manifold wealth management giants, the bank wants to corral the nest eggs of aging Baby Boomers in ~y otherwise sluggish economy and has made loneliness one of its few domestic bourgeoning priorities in 2011.

“We judge we’re just scratching the superficies,” said Andy Sieg, head of loneliness and philanthropic services at the bank’s Merrill Lynch one.

Sieg was recruited from Citigroup in 2009 ~ means of Sallie Krawcheck, president of Bank of America’s global funds and investment management division and his former boss when she was chief executory of Citi’s Smith Barney difference.

BofA has far to go to ensnare up with companies such as Fidelity, which had 7 billion of retirement effects from individuals and institutions as of September 30, 2010.

HUNTING FOR MARKET SHARE

Profit margins from provident retirement plans also are lower than in other areas of the bank. But with Baby Boomers retiring at a proportion of roughly 10,000 per promised time, banks are finding the consistent income attractive.

“The banks have been in plan for this for the last 10 years,” reported Marty Mosby, a banking industry algebraist at Guggenheim Securities LLC.

It command take many more years to sort out whether banks, after decades of merely fitful progress in cross-marketing mixed their various business units, will have ~ing successful in the retirement space, Mosby related.

Few analysts, however, dispute the science of the laws of thought of prospecting for retirement wealth.

Retirement possessions are expected to surge to an estimated trillion in 2015 from trillion in 2010, according to examination firm Cerulli Associates.

Not surprisingly, competition for those assets is heating up.

This year alone, 4 billion leave move among retirement plan providers, according to Cerulli, while banks and fund managers accelerate marketing campaigns to corporations and individuals.

Nevertheless, seclusion assets rank among commercial banks’ in the greatest degree stable revenue bases, fueling the loving of consistent earnings banks crave nevertheless have rarely posted since the financial crisis began in 2008.