MutualFundWire.com
The insiders' edge for 40 Act industry executives!
an InvestmentWires' Publication
an InvestmentWires' Publication
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MutualFundWire.com
The insiders' edge for 40 Act industry executives!
an InvestmentWires' Publication |
|
Tuesday, February 3, 2004 MFS Sees Slight Redemptions Weekly fund flow data show that MFS Investments got the short end of the stick with investors last week. Numbers collected by AMG Data Services show that MFS saw net redemptions of $220 million for the week while all mutual funds saw inflows of $21 billion. The industry wide strong flows are likely being driven by the bounce back in stock prices that started last spring. Even at MFS the $220 million in outflows represent a tiny share of the Boston-based firm's $220 million in assets. Both CEO John Ballen and CIO Kevin Parke face potential suspensions by the SEC, according to published reports. If both executives are suspended MFS may turn to Rob Manning, currently chief fixed income officer, to fill in for them according to industry speculation. MFS is reported to be in talks with the SEC and state officials to settle allegations that it made agreements with investment advisors that allowed them to make timing trades in some of its funds. Reuters reported that New Hampshire regulators remain in "active negotiations" with MFS but that they do not expect "anything today." The release of the figures at the sensitive time prompted Reuters to report that investors are sitting on the sidelines when it comes to buying MFS funds. That report was also run in the Boston Globe Tuesday morning. However, that conclusion cannot be drawn from AMG's figures as they represent net flows, not the actual purchases and sales. MFS' funds have been popular with brokers and the fund firm has been one of the strongest selling through Merrill Lynch in recent years. Printed from: MFWire.com/story.asp?s=6598 Copyright 2004, InvestmentWires, Inc. All Rights Reserved |