Thursday, October 1, 2015

Frightened Investors Withdrew A Staggering And Near Record $63 Billion Out Of Mutual Funds In The Past 3 Months

"With many people still wondering if the downside action has been a test of the recent lows, today King World News is pleased to share an extraordinary piece which takes a look at the staggering amount of withdrawals by frightened investors out of mutual funds in the past 3 months as panic recently began to engulf the world.  This piece also includes two key illustrations that all KWN readers around the world must see.
October 1 (King World News) – Jason Goepfert at SentimenTrader:  “Investors fled U.S. mutual funds in August. Domestic funds suffered more than $60 billion in outflows over the past three months, among the most severe redemptions in thirty years. As a percentage of total assets, the damage wasn’t as bad but still ranks as extreme (see chart below).
KWN SentimenTrader I 10:1:2015KWN SentimenTrader II 10:1:2015
It’s not news that investors got scared in August.
Many of the indicators that we looked at near month-end were at multi-year or even decade-long extremes of fear and uncertainty..."

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