A Startling New Trend: How to Get Prepared for the Month Ahead

The herd is running for the exits. Mutual fund investors are selling out at a faster and faster pace each week. The Investment Company Institute, which tracks mutual fund inflow and outflows, reports redemptions have been surging in equity mutual funds. The last week of April, investors put in a net $1.85 billion into stock mutual funds. Since then though, it has been all downhill. Investors pulled out a net $1.44 billion in the first week of May, $10 billion the next week, $1.1 billion the week after that, and $17.4 billion in the last week of May. It’s happening all over. Canadian investors pulled out between $1 billion and $1.5 billion from mutual funds in May. The size and consistency of the redemptions…