The US 1-3Y bonds has suffered from heavy outflows on Thursday, (€-278.06M), the fifth consecutive days with outflows. On a year to date basis, net flows are now standing at an impressive (€+1.4Bn) after nearly reaching more than 3 billion beginning of April. Investors are pouring out their money of the segment with cumulative net flows over the last month standing at (€-375M). In terms of performance, the segment is delivering a +2.88% performance on a year-to-date basis while the returns for last 31 days is standing at +0.24%. Investors seem to lock in profit selling out the segment. Bonds with higher maturity tend to have higher duration. With the FED leaving interest rates unchanged for 2019, short maturity bonds may not be the safe haven it was a few months back.
23 funds replicating performances of 10 indices are included in the segment for a total of €40.5Bn of assets under management.