U.S. Loan Funds Attract First Investor Inflows in Seven Months

Investors snapped a seven-month stretch of withdrawals from U.S. funds that buy high-yield, high-risk loans, according to data provider Lipper.

Funds reported about $130 million of inflows the past week, the first deposits since July, the unit of Thomson Reuters Corp. said. That trimmed net outflows for the year to about $4 billion. Investors also added $1.64 billion to funds that buy junk bonds, pushing net deposits for the year to $9.94 billion, the data show.

Investors dipped back into a loan market that’s gained 1.4 percent this year after losing 0.5 percent in the last three months of 2014, according to the Standard & Poor’s/LSTA U.S. Leveraged Loan 100 index.

Junk bonds returned 2.19 percent this year after losing 1.1 percent in the fourth quarter, Bank of America Merrill Lynch index data show.

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