Following a month of net redemptions posted in August 2019, long term mutual fund sales rebounded in September, while net sales of Exchange Traded Funds (ETFs) pulled back considerably during the month.

All told, the Investment Funds Institute of Canada (IFIC) says mutual fund sales outstripped ETF sales by a wide margin, pulling in $1.3-billion in net new sales, compared to the $562-million brought in by ETFs in September 2019.

Monthly data from the industry association shows that bond funds were most popular, bringing in almost $2.6-billion in net sales. This offset almost $2.5-billion in net redemptions in the equity mutual fund category.

Equity ETFs also pulled back during the month, posting more than $1-billion in net redemptions, down from the $2.3-billion in net new sales posted in August. Bond ETFs were a brighter spot for the category, posting $1-billion in net sales. Long-term ETFs (not including money market funds) sold only $233-million during the month, while long-term mutual funds, excluding money market funds, brought in $892-million.  

In total, mutual fund net assets continue to dwarf ETF net assets. As of September 2019, mutual fund net assets reached more than $1.5-trillion. ETF net assets reached almost $188-billion.