Mutual funds took in $25 billion more assets than they lost in March, down from $36 billion in net inflow in March 2006.
Domestic stock funds led in March, with net inflow increasing to more than $17 billion, from $12 billion, according to Financial Research Corp., Boston.
Inflow into government bond funds also improved, while inflow into international and global funds fell to $1.8 billion, from $9.3 billion.
Inflow into money market funds increased to $45 billion, from $2.8 billion.