BOSTON (AP) — Investors sought refuge from the market’s volatility in August, withdrawing money from stock mutual funds and bond funds alike.
Industry consultant Strategic Insight reported Wednesday that investors withdrew a net $21 billion from U.S. stock funds last month. Investors also pulled more money out of bond funds than they deposited in August, with a net $11 billion in withdrawals.
Money-market funds were the only major fund category with more money flowing in than out in August. Net deposits into money funds totaled $69 billion.
Low-yielding money funds typically see cash surge in when markets are volatile, as they were in August. The Standard & Poor’s 500 stock index tumbled more than 5 percent.
The month was marked by extreme declines and rebounds, and a U.S. credit rating downgrade by S&P.