F.R.E.A.M.: An Early Look at June '26 & 2Q26 Traditional Asset Manager Flows

Research evidence excerpt

F.R.E.A.M.: An Early Look at June '26 & 2Q26 Traditional Asset Manager Flows

Financials | Brokers, Banks & Asset Managers

July 10, 2026

Glenn Schorr, CFA F.R.E.A.M.: An Early Look at June '26 &

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glenn.schorr@evercoreisi.com 2Q26 Traditional Asset Manager Flows

John Dunn As the Wu-Tang Clan rightfully said (kinda) in ‘93, F.R.E.A.M. -

212-446-9455 Flows Rule Everything Around Me in Asset Mgmt-Land…

John.Dunn@EvercoreISI.com

Benjamin Rubin, CFA, CPA June global retail flows largely softened a bit versus May, marking the

646-551-8502 weakest month of the quarter, as the 2026 market rally paused (e.g. the

Benjamin.Rubin@evercoreisi.com S&P 500 was -1% in the month), but the underlying message was one

Matthew Lyons, CFA of selective risk appetite.

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How flows did. For the publicly traded group, June flows capped a matthew.lyons@evercoreISI.com

constructive but discerning quarter with investors favoring liquid U.S.

equity beta, quality growth, credit, short-duration bonds & cash-like

Treasury exposure. Flows skewed toward equities over alternatives,

U.S. over non-U.S., passive/core over active or niche themes and

income-oriented debt over duration-heavy bonds.

In terms of the quarter, not surprisingly the toughest area was active

equities which saw net redemptions increase 15% q/q to $24bn. Active

fixed income swung to positive at +$3bn. Once again, the winner was

passive with both stock & bond funds seeing inflows grow ~40%

sequentially to +$128bn & +$60bn. Total U.S. flows grew 75% to

+$190bn, while non-U.S. also rose 15% q/q to +$46bn. Outside of

retail, we expect about half of the universe to get some institutional

tailwind from alts/private markets strategies.

How the markets did. In June, markets became more tactical &