Russia Mutual Fund Withdrawals Set for Record Amid Sanctions

Outflows from Russian mutual funds accelerated in July and are on track for an annual record as the standoff in Ukraine and a slumping ruble sent investors fleeing into foreign markets.

Asset managers pulled 663 million rubles ($18 million) out of the nation’s mutual funds last month, four times more than in June, according to data from Investfunds.ru yesterday. The year-to-date exodus stood at 17.2 billion rubles, more than any calendar year since the company began compiling the data in 2005. Russian funds focused on investing abroad registered 2.4 billion rubles of net inflows in the period, the data show.