UBS: Fund Flows Tell Us Nothing

During the fourth quarter of 2018, investors pulled a net $13.8 billion from US high yield exchange-traded funds and mutual funds. Over the same time frame, US high yield bonds suffered a negative total return of 4.5%. Q4 hedge fund letters, conference, scoops etc Most investors would look at these two data points and conclude that during Q4 of 2018, US high yield bonds lost value as investors pulled out of the asset class. But this conclusion could be incorrect opines a new blog from UBS’s chief investment office. Fund Flow Fallacies Titled ‘Fund Flow Fallacies’ the Swiss bank’s article…