Emerging funds snap losing streak after over $50bln Q1 outflows

viernes 4 de abril de 2014 04:29 GYT

By Sujata Rao

LONDON, April 4 (Reuters) - Emerging market stock and bond funds saw their first inflows over the past week after over $50 billion fled in the first three months of 2014, with equities snapping a 22-week losing streak, data from EPFR Global shows.

The Boston-based fund tracker, which tracks funds with $23 trillion in assets, released details of first quarter flows late on Thursday, showing that all emerging equity fund categories had shed $41 billion, following $26.7 billion losses in 2013.

Global Emerging Markets (GEM) equity funds lost $20 billion-plus in the first quarter, EPFR said, but it added that now "there were signs of a thaw".

These funds received $2.5 billion in the week to April 2, with 95 percent of this taken in by exchange-traded funds (ETFs), EPFR said. China, India, Russia and Brazil, the four BRIC countries, enjoyed the biggest inflows.

Only one emerging markets category tracked by EPFR - frontier equity funds - finished the quarter with net gains, having taken in $815 million, data showed.

Developed equity funds which took in a record-setting $385 billion inflows last year, absorbed $95.6 billion over the quarter. Western European equity funds outpaced the United States and Japan, taking in $31.5 billion, EPFR said.

Emerging debt funds meanwhile received just over $1 billion in the past week, EPFR said, noting that the funds had posted outflows in 12 of the 13 weeks in the first 2014 quarter. First quarter losses amounted to $17.2 billion.

It said that flows into China bond funds one of the few bright spots in emerging markets had also faltered following a domestic corporate default.   Continuación...