A record $74 billion flowed into taxable bond funds in May and was the primary force behind the second straight month of positive flows into mutual funds and exchange-traded funds. According to Morningstar, long-term mutual funds and ETFs, which excludes money market funds, experienced $33 billion in net inflows last month, in stark contrast to March’s record $326 billion in net outflows. The reduced market volatility in May also reduced flows into money market funds. But money market funds have still taken in $1.1 trillion so far this year.
Mutual Fund Fraud
Representing Investors Nationwide
Many investors think they can avoid stock market fraud by purchasing mutual funds instead, but it’s essential to understand the reasoning behind your broker’s advice for one mutual fund over the other. Mutual funds pool monies from investors to purchase stocks and other assets including bonds.
UBS Financial Services, Santander Securities, Popular Securities and Oriental Financial Services are financial services companies that enjoy a strong presence in major markets throughout the world. These firms allegedly encouraged clients to take concentrated positions in Puerto Rican bonds closed-end municipal bond funds.
Millions of Americans rely upon mutual funds for their retirement and other investments. These mutual funds form the backbone of a solid, well-balanced portfolio. As such, mutual fund fraud is a devastating blow to the financial wellbeing of its victims.
Mutual funds are highly diversified investments that are designed to provide benefits to investors with limited knowledge. When a stockbroker or investment advisor misrepresents the risks or recommends an investment that is not right for a particu