The first big month for the 2004 RRSP season looks likely to generate about $1.8 billion in net fund sales, most of it to the bank-owned firms.

The Investment Funds Institute of Canada reported that, based on a sample of preliminary data from some of its members, net new sales for the month of January are estimated to be between $1.6 billion to $2.0 billion. “Net sales for the month of January are expected to be about $1.8 billion. This is almost $700 million more than sales in the previous month,” said Tom Hockin, IFIC’s president & CEO, in a news release.

The big winners in this appear to be the banks, with RBC accounting for $492 million in net sales. CIBC stands a distant second, with $284 million in net sales. The only other firm with more than $200 million in net sales, is direct seller, PH&N, at $231 million.

BMO isn’t far back at $197 million, and Brandes reported $145 million in net sales. Fiducie Desjardins and Northwest are the only other firms with more than $100 million in net sales.

More than $100 million in net redemptions was recorded by AIC. Other firms with net redemptions include top independents, Fidelity, Mackenzie, Franklin Templeton and Dynamic.

Most other firms recorded small positive net sales. Investors Group took in just $19 million in net sales, while CI reported $58 million in net sales and, AIM Trimark had $56 million.

Hockin also noted, “Net assets for the industry are expected to be $452 billion, the highest that assets have ever been historically for the industry.”

IFIC estimates that net assets at the end of January will be in the range of $450 to $455 billion, up approximately 3.1% from last month’s total of $438.9 billion.