Long-term mutual funds and ETPs experienced net deposits of US$66.3 billion in May, an increase from the US$50.5 billion in net new flows seen in April. Passive strategies led net flows among long-term funds at US$51.2 billion (including US$26.7 billion to ETPs), while active funds saw US$15.0 billion in net inflows.
Taxable Bond funds saw the highest monthly net deposits among long-term funds at US$37.5 billion, up from US$27.1 billion in April. The fund type saw positive net demand across both active (US$21.3 billion) and passive funds (US$16.2 billion) during the month. Tax-Free Bond funds experienced minor inflows of US$3.3 billion in May.
International Equity funds experienced a significant increase in net inflows in May at US$33.4 billion, compared to US$17.6 billion in net new flows in April. After seeing positive net deposits in every month of 2017, Domestic Equity funds experienced outflows of US$8.0 billion in May.
Money Market funds experienced a rebound in net new flows in May, as both Taxable Money Market funds (US$10.3 billion) and Tax-Free Money Market funds (US$1.4 billion) saw positive inflows. Treasury Money Market funds were the largest contributor to inflows in May at US$9.7 billion.