"That was enough to tip the scale, despite the fact that Vanguard 500 Index has seen an approximately $750 million outflow in March," Mr. Lowell told Bloomberg News.
Current price is partially underpinned by cash but there was a $12m outflow in the first half (including the acquisition of Lyfe Mobile).
First, Livingston has delivered on his promise to halt the nosebleed in global services; the division suffered only a modest cash outflow in the second quarter.
But the new money coming in was very nearly equal to the outflow in April, according to an estimate by Merrill Lynch.
"We'd expect the unwinding of working capital and cash outflow in 2008 to play out over 2009 and 2010," he said.
That is a lot: at its peak, the net annual outflow in the 1980s was 44,000.
Money market funds had a $23.12 billion outflow in June, as investors, apparently concluding that the Federal Reserve would not raise rates further, moved into longer-term bond funds.
The outflow in July amounted to 1.7percentt of total stock mutual fund assets the previous month, well below the 3.7percentt of assets moved out of stock funds in October 1987, the record on a percentage basis.
On the brighter side, Frank A. Dunn, chief financial officer, said that the cash outflow in the second quarter was $500 million, down from the $2 billion estimated in mid-June.
The deposit outflow in Spain reflects a broader capital flight problem that is by far the most serious in the euro zone.
That raised the capital outflow in the first half of this year to €220 billion, which is equivalent to about a fifth of Spain's gross domestic product.
