Business OpportunitiesFund flows to emerging mkts touch $967 mn; highest in '09
Fund flows into emerging markets touched $967 million in the second week of this month, the highest in 2009, as investors shifted their focus from US equity funds to these fast-growing markets, says a report.
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Overall, 18 of the 24 major equity, sector and fixed income fund groups tracked by EPFR Global recorded inflows, while, outflows from US equity funds totalled $3.49 billion.
Equity funds collectively posted inflows of $2.3 billion while fixed income funds (other than Money Market Funds) absorbed $5.5 billion for the week.
"Hopes of increased US and European demand coupled with a good start to third quarter earnings and the latest Chinese trade numbers, investors poured money into emerging markets equity funds during the second week of October," EPFR said.
It was a good week for the BRIC (Brazil ,Russia ,India and China) theme, as flows into dedicated BRIC and Russia equity funds hit YTD highs.
"India and Brazil equity funds had their second best weeks of the year and China Equity Funds took in over $130 million," EPFR said.