312 pages. "[A]fter nearly a decade of strong inflows to bond funds, some regulators, researchers, and commentators are once again raising concerns about how fund investors will react when interest rates begin to rise and bond funds report losses ... [O]utflows from bond funds, even at the height of a market downturn, amount to only 1 or 2 percent of bond fund assets in a month. And even when bond funds have net outflows, investors do not all move for the exits. As some investors sell shares in bond funds, others continue to buy; a substantial portion of individual funds have net inflows; and fund managers are both buyers and sellers of securities. All of this means that funds continue to operate on both sides of the markets, rather than engaging in the one-sided trading that is often predicted."