Asian fund outflows up at $614 million during May 10-16 period

22 May 2007

There have been some significant fund outflows in global markets, reports CNBC-TV18.

In the May 10-16 period, Asia-dedicated funds had net outflows worth USD 614 million versus USD 418 million. Analysts say that May has historically been the worst month for Asian fund flows. The net outflows for the past three weeks are at USD 1.1 billion versus USD 1.3 billion in May 2004.

During the same period, the investors of Japan country funds redeemed $885 million. This was the seventh straight week of net outflows, which was at $2.86 billion. In Europe, investors withdrew $949 million from West European equity funds.

The US equity funds posted net outflows of $2.4 billion. The year-to-date, or YTD, redemptions are over USD 6 billion. Analysts say that large cap blend funds account for most of the outflows and only midcap value funds posted inflows.

Global equity funds had inflows worth USD 727 million and the YTD inflows are worth USD 23.7 billion.