February 2014, Boston. In the February 2014 issue of The Cerulli Edge – U.S. Monthly Product Trends, Cerulli examines nontraditional fixed-income strategies. February's Monthly Spotlight features OppenheimerFunds as this month's Pinnacle Player.
Highlights from this research:
- Nontraditional fixed-income mutual funds and institutional strategies saw substantial asset flows in 2013. The search for yield and risk mitigation is driving interest in unconstrained bonds, floating rate/bank loans, and alternative and private fixed income. More investors will seek unconstrained managers with solid three-to-five-year performance records and well-resourced managers with global credit research and trading operations.
- Despite a mutual fund asset drop of 2.5% during January, they still managed to attract net flows of $39.7 billion. International equity once again topped the net flows chart as the asset class drew in $17.4 billion.
- Equity ETFs started the new year with a mixed bag. Domestic equity ETFs suffered net redemptions of $20.9 billion in January, while their sector equity counterparts fared better with flows of $2.8 billion during the month.