Although the figure represented a fall, led by withdrawals at AIM Trimark Investments, the Investment Funds Institute of Canada (IFIC) said that sales are thought to have exceeded redemptions by between C$850 million to C$1.3 billion.
The institute, whose figures are based on preliminary data provided by some of its members, said that 85 to 95 per cent of new sales went into money market funds.
"Some money market managers are offering very attractive yields," said IFIC president and chief executive Joanne DeLaurentis in a statement.
The institute also estimated the industry's net assets at the end of September to be in the range of C$607 billion to C$612 billion, up from C$608.1 billion in August.
The Royal Bank of Canada's RBC Asset Management led sales, achieving C$472 million in new sales last month.
AIM Trimark performed the most poorly in terms of redemptions, reporting net redemptions of C$220 million in September.
However, other asset management firms also saw significant redemptions, including Franklin Templeton Investments, which had C$146 million of redemptions and AIC, which had $75 million.