US equity funds see outflows for third straight week

(Reuters) -U.S. equity funds witnessed outflows for a third straight week through April 30, driven by worries over the impact of U.S. trade policies on economic growth and business sentiment.

According to LSEG Lipper data, investors withdrew a net $15.56 billion from U.S. equity funds during the week, registering their largest weekly net sales since December 18, 2024.

U.S. large-cap funds witnessed a robust $14.06 billion worth of net disposals, the biggest weekly outflow in six weeks.

Investors also pulled out $3.94 billion, $1.48 billion and $1.26 billion respectively from U.S. small-cap, multi-cap and mid-cap funds.

Sectoral funds, meanwhile, attracted inflows for the first time in nine weeks. The financials and consumer staples sectors saw a notable $502 million and $433 million worth of net purchases, respectively.

U.S. bond funds saw a second successive week of inflows, although a marginal $230 million flew into these funds.

By segment, U.S. municipal debt funds and U.S. mortgage funds attracted a significant $1.57 billion and $961 million, respectively, in inflows.

Investors, however, withdrew approximately $2.87 billion from U.S. money market funds during the week, following a net $24.43 billion worth of purchases in the previous week.

(Reporting by Gaurav Dogra and Patturaja Murugaboopathy in BengaluruEditing by Frances Kerry)

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