The following Chart of the Day from State Street Global Advisors shows the flow of funds in investments going all the way back to 2001.
In a nutshell:
So far this year, this is the first time ever the total amount of investments in stocks and bonds shrank. Quite simply, the investment left the market and went into banks in the form of bank deposits.
Funds continue to leave actively managed mutual funds, in teal, and have accelerated to the largest outflow ever.
Passive Exchange Traded Funds (aka ETFs), in dark blue, are the funds we use, and are one of the only ones that grew in size.