The largest fund firm's net inflows fell $792.546 billion (87 percent) last year, and their AUM fell by more than $3 trillion.

Laurence D. "Larry" Fink BlackRock Chairman, CEO

This article draws from Morningstar Direct data for December 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 eight firms (down year-over-year from nine in December 2021) with more than $500 billion each in long-term fund and ETF AUM.

Jumbo fund firms had $15.429 trillion in total long-term fund AUM as of December 31, 2022, and they accounted for 67.88 percent of overall industry long-term fund AUM. That compares with $16.147 trillion and 67.73 percent on November 30, 2022), and with $19.138 trillion and 68.15 percent on December 31, 2021.

Three of those jumbo fund firms brought in net inflows in December 2022, down month-over-month from four in November 2022 and down Y/Y from six in December 2021.

BlackRock (including iShares) took the jumbo firm inflows lead last year, thanks to an estimated $135.62 billion in 2022 inflows. Other big inflows winners included: Vanguard, $82.725 billion; and SSGA, $24.641 billion.

BlackRock also led the pack last quarter, thanks to an estimated $49.443 billion in net inflows in the fourth quarter of 2022. Other big Q4 2022 inflows winners included: SSGA, $26.205 billion; and Vanguard, $6.866 billion.

And BlackRock also led the pack last month for a second month in a row, thanks to an estimated $8.477 billion in December 2022 inflows, down M/M from $14.885 billion in November 2022 and down Y/y from $31.372 billion in December 2021. Other big December 2022 inflows winners included: J.P. Morgan (including Six Circles), $4.052 billion (up M/M from $1.697 billion, down Y/Y from $8.983 billion); and Vanguard, $2.399 billion (down M/M from $4.118 billion, down Y/Y from $4.518 billion).

On the flip side, T. Rowe Price kept the outflows lead last year, thanks to an estimated $59.161 billion in net 2022 outflows. Other big outflows sufferers included: Capital Group's American Funds, $50.562 billion; and Invesco, $13.151 billion.

Capital Group led the outflows pack last quarter, thanks to an estimated $26.907 billion in net Q4 2022 outflows. Other big outflows sufferers included: Fidelity, $21.6 billion; and T. Rowe Price, $15.96 billion.

And Capital Group also took the outflows lead last month, thanks to an estimated $10.65 billion in December 2022 outflows, up M/M from $7.839 billion in November 2022 and up Y/Y from $3.109 billion in December 2021. Other big December 2022 outflows sufferers included: T. Rowe Price, $7.212 billion (up M/M from $4.242 billion, up Y/Y from $3.446 billion); and Invesco, $5.874 billion (down M/M from $3.608 billion in net inflows, down Y/Y from $3.175 billion in net inflows).

As a group, the eight largest fund firms brought in $114.066 billion in net 2022 inflows, equivalent to 0.74 percent of their combined AUM. That's down Y/Y from $906.612 billion in 2021.

Jumbo fund firms brought in $17.945 billion in net Q4 2022 inflows. That's equivalent to 0.12 percent of their combined AUM.

In December 2022, jumbo fund firms suffered $11.598 billion in net outflows, equivalent to 0.08 percent of their combined AUM and accounting for 13.51 percent of overall industry outflows. That compares with $47 million, 0.0003 percent of AUM, and 0.09 percent of industry outflows in November 2022, and with $86.688 billion in net inflows, 0.45 percent of AUM, and 98.92 percent of industry inflows in December 2021.

Across the entire industry, the 788 firms tracked by the M* team (down from 799 a year ago) suffered an estimated $361.242 billion in net outflows in 2022, equivalent to 1.59 percent of the industry's combined $22.731 trillion in AUM, and the industry had 42,192 long-term funds and ETFs. That's down Y/Y from $1.21309 trillion in 2021 inflows, when the industry had $28.084 trillion in AUM.

In Q4 2022, the industry suffered $164.816 billion in net outflows. That's equivalent to 0.73 percent of the industry's AUM.

In December 2022, the industry suffered $85.82 billion in net outflows, equivalent to 0.38 percent of its AUM. That compares with $52.733 billion and 0.22 percent in November 2022, and with $87.633 billion in net inflows and 0.31 percent in December 2021.

Passive funds brought in $35.056 billion in net December 2022 inflows, down M/M from $42.638 billion in November 2022 and down Y/Y from $95.932 billion in December 2021. Yet active funds suffered $121.317 billion in net December 2022 outflows, up M/M from $95.552 billion and up Y/Y from $8.299 billion.

***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 mutual funds. For example, as the T. Rowe Price team revealed last week, in 2022 their clients transferred about $12.4 billion (including about $700 million in December alone) 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. 

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