* Consensus is Long Europe & Short EM – Chart 1 shows that the flow differential over the past 4 months stands at an extreme 97th percentile.
* No reprieve for EM assets this week ($3.5bn outflows from EM equities & bonds combined); meanwhile a record-extending 24 straight weeks of inflows to EU equity funds (inflows of $4.5bn this week is second largest YTD).
* Largest weekly outflows from bond and commodity funds since Jul/Aug’13.
- Equities: $1.4bn inflows (masks divergence between $5.9bn inflows to ETF’s and $4.5bn LO outflows)
- Bonds: largest weekly outflows since Aug’13 ($4.2bn) (Table 1)
- Commodities: largest weekly outflows since Jul’13 ($1.4bn)
- MMF: 2 straight weeks of inflows
>>> Equity Flows
- EM: 7 straight weeks of outflows ($1.9bn) (Table 2)
- Europe: 24 straight weeks of inflows ($4.5bn = second largest weekly inflow in 2013)
- US: modest inflows (all inflows via ETF’s)
- Japan: tiny outflows
* Consensus is Long Europe & Short EM – Chart 1 shows that the flow differential over the past 4 months stands at an extreme 97th percentile.
* No reprieve for EM assets this week ($3.5bn outflows from EM equities & bonds combined); meanwhile a record-extending 24 straight weeks of inflows to EU equity funds (inflows of $4.5bn this week is second largest YTD).
* Largest weekly outflows from bond and commodity funds since Jul/Aug’13.