By Jennifer Ablan
NEW YORK (Reuters) - Guggenheim Investments said Tuesday that it had posted positive net inflows in December, including its flagship Total Return Bond Fund, despite rising rates in global bond markets.
Guggenheim's flagship Total Return Bond Fund, an intermediate-term fund that has outperformed 99 percent of its rivals over three and five years ended December 31, 2016 according to Morningstar, took in $191 million in December, the firm said.
The $4.2 billion fund had net inflows of $2.15 billion in 2016, and has experienced net inflows for 36 consecutive months, Guggenheim added.
Todd Rosenbluth, director of ETF & Mutual Fund Research at CFRA, said the Total Return Bond Fund "has generated consistently strong performance relative to its peers. In addition, the fund incurs less duration protecting it against rate swings. Investors have gravitated toward those funds as the bond market has proven choppier."
Meanwhile, the Guggenheim Macro Opportunities Fund, a $3.92 billion non-traditional bond fund that has also outperformed 99 percent of its rivals over five years, took in $297 million in December, the firm said.
Guggenheim Floating Rate Strategies Fund, a bank loan fund that has outperformed 97 percent of peers over five years, took in $280 million in December.
Guggenheim Limited Duration Fund, a short-term bond fund, experienced its 37th consecutive month of net inflows since its December 2013 inception. It has outperformed 98 percent of funds in its Morningstar category during that time.