A money center bank's asset management arm led one side of the industry last month, while a low-cost leviathan led the other side.

Mary Callahan Erdoes J.P. Morgan CEO of Asset and Wealth Management

This article draws from Morningstar Direct data on January 2023 open-end mutual fund and ETF flows, excluding money market funds and funds of funds. The data also excludes other asset management products, like SMAs and CITs***.

J.P. Morgan (including Six Circles) led the pack for a third month in a row last month, thanks to an esetimated $6.328 billion in net January 2023 active inflows, up month-over-month from $4.633 billion in December 2022 and up year-over-year from $1.162 billion in January 2022. Other big January 2023 active inflows winners included: Allianz's Pimco, $2.641 billion (up M/M from $7.211 billion in net outflows, up Y/Y from $797 million in net outflows); DFA, $2.163 billion (up M/M from $1.789 billion in net outflows, up Y/Y from $1.98 billion in net inflows); Dodge & Cox, $1.12 billion (up M/M from $929 million in net outflows, up Y/Y from $250 million in net inflows); and First Trust, $949 million (up M/M from $552 million, up Y/Y from $337 million).

Vanguard led the pack last month for a second month in a row on the passive side, thanks to an estimated $18.399 billion in net January 2023 passive inflows, up M/M from $15.672 billion in December 2022 and up Y/Y from $14.72 billion in January 2022. Other big January 2023 passive inflows winners included: Fidelity, $5.807 billion (up M/M from $4.425 billion, down Y/Y from $15.912 billion); Schwab, $5.363 billion (up M/M from $3.886 billion, up Y/Y from $4.661 billion); BlackRock (including iShares), $4.669 billion (down M/M from $13.833 billion, up Y/Y from $4.793 billion in net outflows); and J.P. Norgan, $4.413 billion (up M/M from $1.021 billion in net outflows, up Y/Y from $832 million in net inflows).

On the flip side, last month was a rough one for T. Rowe Price, which took the lead in the active outflows pack, thanks to an estimated $6.031 billion in net January 2023 active outflows, down M/M from $7.238 billion in December 2022 but up Y/Y from $3.165 billion in January 2022. Other big January 2023 active outflows sufferers included: Fidelity, $5.31 billion (down M/M from $6.73 billion, up Y/Y from $4.895 billion); Capital Group (home of the American Funds), $2.61 billion (down M/M from $10.65 billion, down Y/Y from $3.726 billion in net inflows); Invesco, $1.271 billion (down M/M from $4.097 billion, up Y/Y from $992 million); and Franklin Templeton, $1.111 billion (down M/M from $6.275 billion, down Y/Y from $2.48 billion).

Invesco led the passive outflows pack for a second month in a row last month, thanks to an estimated $1.369 billion in January 2023 outflows, down M/M from $1.795 billion in December 2022 and down Y/Y from $2.313 billion); Goldman Sachs, $427 million (down M/M from $701 million in net inflows, down Y/Y from $597 million in net inflows); Jackson, $355 million (up M/M from $284 million, down Y/Y from $486 million); Pimco, $235 million (up M/M from $173 million, up Y/Y from $174 million); and U.S. Global Investors, $191 million (up M/M from $92 million, down Y/Y from $336 million in net inflows).

Overall, the 735 active fund firms tracked by the M* team (up M/M from 732 and up Y/Y from 734) suffered an estimated $4.367 billion in net active outflows in January 2023, down M/M from $121.317 billion in December 2022 and down Y/Y from $13.138 billion in January 2022. 359 active firms (48.8 percent) brought in net inflows last month, up M/M from 231 (34.5 percent) but down Y/Y from 413 (56.27 percent).

The 155 passive firms tracked by the M* team (down M/M from 157, down Y/Y from 160) brought in an estimated $47.436 billion in net January 2023 inflows, up M/M from $35.056 billion in December 2022 and up Y/Y from $22.087 billion in January 2022. 80 firms (51.6 percent) gained net passive inflows last month, up M/M from 73 (46.5 percent) but down Y/Y from 85 (53.1 percent).

***This caveat is particularly important for jumbo fund firms, many of which are big players in the 401(k) business, where collective investment trusts (CITs) are a commonly used alternative to traditional mutula funds. For example, as the T. Rowe Price team revealed earlier this month, in January 2023 their clients transferred about $1.1 billion out of T. Rowe mutual funds and into other T. Rowe products like CITs and SMAs. And T. Rowe is a big retirement plan provider and DC I-O asset manager, especially in the target-date fund (TDF) space. 

Stay ahead of the news ... Sign up for our email alerts now
CLICK HERE