Focussed EM equity funds saw $2.26 bn outflow last week: MS

Moneycontrol Bureau

Dedicated emerging market equity funds reported outflows of USD 2.26 billion for the week ended December 24, according to data collated by brokerage house Morgan Stanley. This is the second consecutive week of large inflows after the previous week's outflows of USD 6.79 billion, the Morgan Stanley note said.

Within EM-dedicated funds, global emerging markets (GEMs) regional funds reported the largest outflows of USD 1.72 billion, marking the fifth consecutive weekly outflow for GEMs regional funds, according to Morgan Stanley. 

Exchange Traded Funds (ETFs) reported inflows of USD 0.69 bn within the aggregate EM outflows of USD 2.26 billion, driven mainly by inflows from EM Asia ETF regional funds of USD 0.68 billion, data collated by the brokerage showed.

Excerpts from the Morgan Stanley note:

"At the country level for equities, China reported the largest outflows within EM, USD 0.64 billion last week. Relative to their assets under management (AUM), Colombia, Poland and Chile reported the largest outflows for the week. Korea was the only market that reported inflows.

Within developed markets, Hong Kong, Italy and Singapore reported the largest outflows relative to their AUM."

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