Mutual fund net redemptions for June are estimated to be between $1.3 billion and $1.8 billion, according to preliminary estimates from the Investment Funds Institute of Canada released Friday.

The net redemptions were driven by the fact that perennial sales leader RBC reported $872 million in overall net redemptions, as $386 million in long-term fund sales was wiped out by $1.26 billion in redemptions from its money market funds.

That said, RBC actually led the long-term net sales, followed by TD Asset Management with $316 million in net sales, and Dynamic Mutual Funds at $259 million.

However, the overall sales leader was Scotia Securities, with $282 million in monthly net sales. Dynamic Fund Mamangement was close behind at $230 million, followed by Sentry Select with $212 million.

IFIC also estimates that net assets of the mutual fund industry for the month of June will be between $542.9 billion and $547.9 billion, up approximately 1.43% from last month’s total of $537.8 billion.

“After a small decline in assets under management in the first quarter of 2009, assets grew by $48 billion in the second quarter, an increase of 9.7%. This is certainly good news for mutual fund investors”, said Pat Dunwoody, vice president of member services and communications with IFIC.

“We are continuing to see a re-balancing of assets, as investors are moving back into long-term fund categories. In addition, we are seeing investors move to other interest bearing securities as money market yields have come down over the past few months,” she added.