Estimated Fund FlowsView Financial Glossary Index
Our data provider defines estimated net flow at the fund level as the change in assets between two periods not explained by the return of the fund.
When a fund reports its assets at the share-class level, the share-class return is used to compute flow. If a fund only reports assets at the fund level, the return of the oldest share class is used. Fund-level reporting prevails in the UK market and to a lesser degree in Luxembourg.
Adjustments are also made for reinvested dividends, which can have a large impact in markets in which dividend payouts are significant and frequent, such as the United States. When one share class merges into another, our provider reduces the target share class’ flow in the month of the merger by the final assets of the obsolete fund.
Only US flows are free of survivorship bias (meaning funds that were merged or liquidated are included in the data).