New Delhi: Asia equity funds including those of India and China witnessed their highest inflows since the beginning of year at nearly $600 million in the first week of April, a latest report says.
Investors across the world put in about $60.4 million in India country funds during the first week of April, while China funds attracted the largest in the region of over $377 million, as per to data complied by international fund tracking firm EPFR Global.
“Asia ex-Japan Equity Funds enjoyed their best week of the year in early April, absorbing a net $599 million, as investors found some value in China and continued to commit fresh money to Taiwan in the aftermath of the 22 March presidential election,” the report stated.
At the country level, funds geared on all four of the so-called BRICs (Brazil, Russia, India and China) posted inflows, as did the funds focused on the combined BRIC region, the report said.
However in the previous four weeks, India funds had witnessed a heavy outflow of $247.6 million, while the total money pulled out from the country equity funds so far this year has been $994.7 million, the EPFR global data revealed.
Among the other emerging markets, Latin America and Europe, Middle East and Africa (EMEA) equity funds also posted inflows for the week.
In the case, Latin American region flows were helped by the $171 million committed to the Shares MSCI Mexico Index Fund, while the EMEA funds benefited from the continuing support for Russia’s commodities story and interest in Middle Eastern markets, the report revealed.
However, the diversified Global Emerging Markets (GEM) equity funds saw outflows for the first week of April of about $198 million.
Collectively, the global equity funds saw some fresh money with US, Europe, Global and Asia ex-Japan equity funds chalking up solid inflows during a week when most fund groups recorded collective portfolio gains of over 2%.
Six of the nine major sector fund groups also saw inflows, with energy sector funds absorbing $1.53 billion.
But Japan and pacific equity funds extended their losing streaks and financial sector funds saw big outflows, the report added.