Rising interest rates diverted investors attention away from municipal bond funds in April, causing the first negative net sales rate since 1987, according to the Investment Company Institute.

Net sales, or total sales minus redemptions, of all long-term municipal bond funds was a negative $292.3 million in April, signaling that investors took more money out of mutual funds than they put in. This compares with a $3.75 billion gain in net sales in April of 1993.

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