LatAm Equity Flows Slumped in 2010

Inflows into LatAm equity funds totaled $1.7bn last year, much less than the $11.1bn seen in 2009, EPFR Global says. “LatAm funds had a relatively strong Q4 as investors sought exposure to the global commodities story,” it says. Although flows into Brazil funds again dominated, the second half of the year showed an increasing interest in second tier markets such as Peru and Chile, it adds. Brazil funds attracted $1.5bn in 2010 and $5.2bn in 2009. Meanwhile, EM equity inflows for 2010 soared to $92.1bn, shattering the $83.3bn record set in 2009, according to the shop. GEM equity fund inflows for 2010, $62.0bn, also were higher than those of 2009, $44.2bn. As for performance, Lipper data show that they ended 2010 on a positive note. EM funds were up 19.04%, LatAm funds gained 19.47% and global small and mid-cap funds were up 24.74%.