Global equity funds secured weekly inflows for a second straight week in the week to Jan. 18 on hopes over waning inflationary risks and more measured rate hikes from the Federal Reserve, though recent data showed a drop in consumer spending.
Refinitiv Lipper data showed global equity funds obtained $5.24 billion worth of inflows during the week, a tad higher than the previous week.
However, most inflows went into European equity funds, as investors were chasing the region’s equity markets, which were more battered last year, and are available at cheaper valuations.
European equity funds received $7.06 billion, while Asian equity funds obtained $1.16 billion. On the other hand, US equity funds faced outflows worth $3.13 billion.
Meanwhile, global bond funds also had inflows for the third consecutive week, drawing $13.23 billion worth of money.
Investors purchased global corporate funds worth $3.74 billion, with high-yield funds luring $2.1 billion. However, their buying in government bond funds dipped to a 12-week low of $4 million.
Global money market funds faced their first outflow in four weeks, suggesting increased investor risk appetite. – Reuters
