EM equity fund flows turn green

After nine consecutive weeks of redemptions from aggregate EM equity funds, this week (27^th March 2011) has seen a healthy USD2.6bn inflow (0.4% of AUM) into EM funds, the most since the week that ended 5^th January 2011, EPFR.

Last week there was a redemption of USD 2.6bn in EM equity funds.

By region:

All region-dedicated funds saw inflows -- except Latin America, reporting an outflow of USD81mn. Global emerging market and Asia-focused funds were the big winner, attracting USD1.5mn and USD411mn respectively, this week

CEEMEA saw inflows as a percentage of assets (1.5%), followed by Asia (0.2%); Latin America remained the loser (-0.1%).

By Type of fund:

EM Balanced funds were the main beneficiary with a reported inflow of USD1.6 bn.

BRIC  funds remain out of favor with reported redemptions of USD73mn.

By Country:

Russia was again completely dominant amongst the country funds, taking in USD608mn.  China funds reported net inflows of USD316mn, Korea funds took in USD122mn, Turkey saw USD10mn of new money, Brazil gained USD8mn and India funds suffered net redemptions of USD64mn.