NEW YORK: AAInvestors pulled $4.1 billion from U.S.-based taxable-bond mutual funds, the most since June, as a bond selloff forced interest rates higher and rattled investors, Lipper data for the latest week showed on Thursday. "Investors are pulling the trigger and are starting, maybe, the rotation out of bond funds," said Tom Roseen, head of research services for Thomson Reuters Lipper.Municipal bond funds continued to be punished as well, losing $2.1 billion to redemptions. Loan-participation funds, invested in bonds that pay out more when rates rise, took in $339 million and delivered a third straight week of positive performance. "They're being selective," said Roseen.Investors extended a streak of mostly withdrawals for European funds this year, pulling $335 million in the latest week, according to the data. Relatively low-risk money-market funds took in $10.6 billion.= Reuters

Source: The Star December 02, 2016 03:02 UTC