IFIC releases 2024 Investment Funds Report

Canada's most accurate and comprehensive source of mutual fund and ETF assets and sales data

TORONTO, Jan. 31, 2025 /CNW/ - The Investment Funds Institute of Canada (IFIC) today released its 2024 Investment Funds Report, offering data and comprehensive analysis of mutual fund and ETF sales and assets under management as well as industry trends.

"This report is the definitive source for investment fund data. IFIC is proud to provide this invaluable tool which helps us to understand the factors and trends shaping the investment landscape in Canada," said Andy Mitchell, IFIC's President and CEO.

Mutual fund assets reached record highs in the second half of 2024, and by year-end, increased by 15.7 per cent (compared to 7.1 per cent in 2023). In a notable milestone, ETF assets crossed the $500-billion mark in 2024, achieving a dramatic 35.5 per cent increase in assets.

"Several factors contributed to the robust growth in mutual fund and ETF net sales we saw last year," said Mitchell. "These include strong market performance, a drop in inflation creating a more stable economic environment, declining interest rates, and rising household savings, among others."

Data highlights

• At the end of 2024, Canadian mutual fund assets reached $2.242 trillion, while ETF assets reached an all-time high of $518 billion.
• Mutual fund net sales totalled $15.2 billion, which was the first year of positive net sales since 2021, and ETF net sales totaled $75 billion, the highest total ever and more than the previous two years combined.
• Alternative mutual fund assets totaled $28.4 billion and alternative ETF assets totaled $19.3 billion, representing 1.3 per cent of total mutual fund assets and 3.7 per cent of total ETF assets, respectively.
• Balanced funds comprised approximately 44 per cent of total mutual fund assets, the largest portion of Canadian mutual fund assets while equity funds accounted for 63 per cent of total ETF assets.

Investor trends

• The strong performance of both stock and bond markets likely helped in restoring investor confidence, contributing to overall positive net mutual fund sales.
• The continued growth in sales of alternative mutual funds reflects investors' ongoing interest in diversifying their portfolios and the expanding range of alternative fund options.
• The Bank of Canada's interest rate cuts typically lead to higher bond prices as existing bonds with higher yields become more attractive. The bond market's improved performance renewed investor interest in bond mutual funds.

About IFIC
The Investment Funds Institute of Canada is the voice of Canada's investment funds industry. IFIC brings together 150 organizations, including fund managers, distributors and industry service organizations to foster a strong, stable investment sector where investors can realize their financial goals. By connecting Canada's savers to Canada's economy, our industry contributes significantly to Canadian economic growth and job creation.

SOURCE The Investment Funds Institute of Canada

For more information: Christine Harminc, Senior Manager, Communications and Public Affairs, [email protected], 416-309-2313