NU Online News Service, Dec. 26, 10:43 a.m. – Stock and bond mutual funds attracted $12 billion more cash in November than they lost, down from a net cash inflow of $15 billion for November 2001, according to the Financial Research Corp., Boston.
Many investors were looking for safety: net cash inflow at money market funds increased to $118 billion in November, up from $53 billion.
But some investors were willing to place a bet on the future of corporate borrowers with shaky finances. Those investors helped make the high-yield bond category the hottest long-term fund category that FRC tracks. The net cash inflow for the high-yield bond category was $3.1 billion, compared with $1.7 billion for the second most popular category, domestic hybrid funds.