Mutual funds likely suffered net redemptions once again in November, but at a much lower level than the previous month., the Investment Funds Institute of Canada said Tuesday.

According to preliminary data, IFIC estimated between $801 million and $1.3 billion in net redemptions from the mutual funds in November.

Long-term fund net sales were negative in the month, but money market funds returned to positive net sales territory once again.

In October, mutual fund redemptions totalled a record $8.4 billion and industry assets under management fell nearly 10%.

September redemptions totalled $4.5 billion.

Fidelity Investments Canada led the way with $263 million in overall net sales, including $214 million in long-term net sales.

Manulife Investments had $177 million in overall net sales, powered by $150 million in long-term net sales.

RBC managed $130 million in overall net sales, but this was all due to money market sales, its’ long-term funds were in net redemptions for the month.

Most firms are reporting net redemptions for the month, although the list of net positive sellers also includes Scotia Securities, IA Clarington, Standard Life, Hartford Investments and Meritas Mutual Funds.

The heaviest redemptions were recorded by CIBC Asset Management and Invesco Trimark, $391 million and $359 million, respectively.

In the year to date the industry looks to be about flat on a net sales basis (excluding reinvested distributions), although long-term funds are in net redemptions.


IFIC also estimated that net assets of the mutual fund industry for November were down 3.48% from October. It estimated net assets between $548.9 billion and $553.9 billion, down from last month’s total of $571.3 billion.

“Hopefully, the actions taken this month by governments worldwide, coupled with the transition to a new government and new economic team in the United States will continue to calm markets and instill confidence by all market participants,” said Pat Dunwoodk, vp of member services and communications with IFIC, in a release.

IE