Short-Term Bond Fund Investors Get Active
The trend to passive funds may be reversing here.
The short-term bond Morningstar Category has seen increased inflows in the past couple of years--and in September, it took in more money than any other category. That makes sense given investor worries about future interest rate increases. Perhaps more surprising is that a lot of this money has gone to actively managed funds, reversing a previous trend where short-term bond fund investors favored cheaper passive vehicles. We looked at this shift and dove into some of the more interesting funds receiving net inflows.
Benjamin Slupecki does not own (actual or beneficial) shares in any of the securities mentioned above. Find out about Morningstar’s editorial policies.