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If stock mutual funds experience an influx of new money from retail investors — which he says could be likely in light of improvements in the employment outlook — modest market gains could be achieved this year.
Of course a much more serious conflict that won't be solved by either confidentiality or disclosure is the one funds experience each day when they decide whether to buy, hold or sell the stock of companies they do business with.
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But if the funds experienced big losses, the value of the assets could be vulnerable.
Stock funds experienced net withdrawals of $3.1 billion in February, according to the Investment Company Institute, the fund industry's principal trade group.
Bond mutual funds experienced net redemptions of $12.8 billion in December, according to the Financial Research Corporation, a Boston consulting firm.
According to Robert Adler, president of AMG Data Services, index funds experienced $150 million in outflows, the largest drop since August 1999.
Funds that specialize in communication stocks were up 9.3 percent in the quarter, the Morningstar results show, while utility funds experienced a more modest rise of 3.7 percent.
Data from the Investment Association showed retail investors withdrew £360m from property funds in May – the month before the referendum – although equity funds experienced bigger outflows, with £439m.
During the first half of 2016, activist hedge funds experienced negative net asset flows for the first time since 2009.
Although other hedge funds experienced declining AUM in this period, it was not nearly as marked a decline as experienced by activist funds.
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