July was another tough month for mutual funds according to preliminary data from the Investment Funds Institute of Canada.

IFIC reported that, based on a sample of preliminary data from some of its members, net new sales for the month of July are estimated to be between minus $1.3 billion to minus $0.9 billion. “Net redemptions for July are expected to be about $1.1 billion, approximately the same level as last month,” saidTom Hockin, IFIC’s president and CEO, in a statement. “Higher interest rates and poor equity markets continue to discourage sales.”

The banks continue to take some of the hardest hits, as investors seek better yields in this low-rate environment, dropping money market funds in the process. TD saw $236 million in net redemptions, and RBC saw $153 million in net redemptions.

But the pain is also spreading to some of the big independents. AGF suffered $214 million in net redemptions for the month, and Fidelity and C.I. dropped $148 million and $123 million respectively.

AIM remains one of the few winners in this environment, generating $62 million in net sales in the month. Its Trimark brand value funds remain popular. Other firms with positive net sales include Elliott & Page, Guardian, PH&N, CM Investment Management and Dynamic.

IFIC also estimates that net assets of the industry at the end of July will be in the range of $398 to $403 billion, down approximately 3.8% from last month’s total of $416.6 billion.