Large fund firms' outflows jumped 36 percent last month, and only one sixth of those firms brought in net inflows.

Jonathan Christian de St. Paer Charles Schwab Investment Management, Inc. President, CEO

This article draws from Morningstar Direct data for May 2022 mutual fund and ETF flows, excluding money market funds and funds of funds. (Other asset management products, like collective trusts and SMAs, are also not included.) More specifically, this article focuses on the 24 firms with between $100 billion and $500 billion each in long-term fund AUM.

Large fund firms had a combined $5.006 trillion in long-term fund AUM as of May 31, 2022, and they accounted for 20.41 percent of overall industry long-term fund AUM. That compares with $5.012 trillion and 20.39 percent on April 30.

Four large fund firms brought in net long-term fund inflows last month, up from three in April.

Charles Schwab kept the lead last month, thanks to an estimated $2.226 billion in net May 2022 inflows, down month-over-month from $2.538 billion in April 2022 and down year-over-year from $5.358 billion in May 2021. The only other May 2022 inflows winners were: First Trust, $1.225 billion (up M/M from $200 million in net outflows, down Y/Y from $2.091 billion); DFA, $1.118 billion (up M/M from $188 million in net outflows, up Y/Y from $649 million in net outflows); and American Century (including Avantis), $622 million (up M/M from $74 million, down Y/Y from $988 million.

Schwab also led the 2022 inflows pack after the first five months of 2022, thanks to an estimated $16.675 billion in net year-to-date inflows as of May 31. Other big YTD inflows winners included: Edward Jones' Bridge Builder, $7.085 billion; and First Trust, $6.26 billion.

On the flip side, Frankin Templeton took the outflows lead last month, thanks to an estimated $6.54 billion in May 2022 outflows, up M/M from $4.444 billion in April 2022 and up Y/Y from $402 million in May 2021. Other big May 2022 outflows sufferers included: Pimco, $5.785 billion (up M/M from $4.894 billion, down Y/Y from $2.041 billion in net inflows); Lord Abbett, $3.969 billion (up M/M from $2.787 billion, down Y/Y from $336 million in net inflows); PGIM, $3.043 billion (up M/M from $2.028 billion, up Y/Y from $94 million); and MFS, $2.731 billion (up M/M from $802 million, down Y/Y from $685 million in net inflows).

After the first five months of 2022, Pimco led the pack with an estimated $21.913 billion in net YTD outflows. Other big outflows sufferers included: Franklin, $19.559 billion; and Lord Abbett, $11.741 billion.

As a group, large fund firms suffered an estimated $36.173 billion in net long-term fund outflows in May 2022, equivalent to 0.72 percent of their combined AUM and accounting for 92.51 percent of overall industry outflows. That compares with $26.673 billion, 0.53 percent of AUM, and 29.89 percent of outflows in April 2022.

YTD, large fund firms have suffered an estimated $87.881 billion in net outflows as of May 31. That's equivalent to 1.76 percent of their combined AUM and accounts for 188.59 percent of overall industry YTD outflows.

Across the entire industry, the 787 firms tracked by the M* team (down M/M from 796 but up Y/Y from 760) suffered an estimated $39.103 billion in net May 2022 outflows, equivalent to 0.16 percent of the industry's $24.532 trillion in long-term fund AUM. (298 firms brought in net May inflows, down from 320 in April.) That's down M/M from $89.224 billion and 0.36 percent of $24.585 trillion of AUM in April 2022 and down Y/Y from $82.763 billion in net inflows and 0.32 percent of $26.156 trillion of AUM in May 2021.

Active funds suffered an estimated $109.837 billion in net May 2022 outflows, up M/M from $86.386 billion and down Y/Y from $11.451 billion in net inflows. Yet passive funds brought in an estimated $70.729 billion in net May 2022 inflows, up M/M from $2.838 billion in net outflows and down Y/Y from $71.312 billion.

After the first five months of 2022, the industry had suffered $46.598 billion in net YTD outflows, equivalent to about 0.19 percent of industry long-term AUM. 390 firms have brought in net inflows YTD. 

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