Latest AMG data - This is what is bothering me

[HenryTo]

Fund inflows and outflows data per amgdata.com for the week ending July 27, 2005. As a trader with a neutral to bearish bias, this is what is bothering me.

Note that equity funds report a NET CASH OUTFLOW of $405 million for the week ending yesterday (including ETF activity). Historically, this has acted as a pretty good contrarian indicator - especially on the outflows during a cyclical bull market and inflows during a bear market.

At the same time, however, this is partly negated by the fact that more small cap funds are reporting an inflow than any week since the week ending 2/9/2005 - a couple to a few weeks before a significant intermediate-term top. I will write a more detailed email later tonight.
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Equity funds report net cash outflows totaling -$405 million, including ETF activity and inflows totaling $379 excluding ETF activity in the week ended 7/27/05;

Excluding ETF activity 82% of Equity Fund inflows went to funds investing in Non-domestic securities ($311 Mil);

International Equity funds report net inflows of $288 Mil ($234 Mil xETFs) with all Emerging regions reporting net inflows and Europe and Japan funds reporting net outflows;

More Asia Pacific (xJapan) funds (44) report net inflows than any week since 4/13/05;

More Small Cap Growth/Value funds report inflows (574) and fewer report outflows (553) than any week since 2/9/05;

Real Estate funds report net inflows totaling $158 Mil (xETFs) with more funds reporting inflows (135) and fewer funds reporting outflows (5 than any week since 12/29/04;

Largest ETF activity reported:
$286 Mil to the iShares S&P SmCap 600 Index fund;
$275 Mil to the Select Sector SPDRs Energy fund;
-$386 Mil from the iShares DJ US Real Estate Index fund;
-$288 Mil from the iShares Nasdaq Biotech Index fund;
-$179 Mil from the iShares Select Sector SPDRs Financial fund;
-$136 Mil from the iShares C&S Realty Majors Index fund;
-$125 Mil from the Select Sector SPDRs Industrial fund;
-$104 Mil from the Select Sector SPDRs Materials fund;

Taxable Bond funds report net cash inflows totaling $367 million ($278 Mil xETFs) with the largest inflows reported by Investment Grade Corporate Bond funds ($304 Mil; $233 Mil xETFs);

Fewer Taxable Bond funds report inflows (1260) and more report outflows (1755) than any week since 3/30/05;

High Yield Corporate Bond funds report net cash outflows of -$105 Mil;
Fewer funds report inflows to Government Bond funds investing in Mortgage-backed securities than any week since 12/15/04;

Money Market funds report net outflows of -$893 million as Taxable MM funds report net outflows of -$2.919 billion and Tax-Exempt MM funds report net inflows of $2.026 billion;

Municipal Bond funds report net cash inflows to all sectors ($226 Mil) for the 11th consecutive week, the first time this has occurred since 7/16/03.