Strong Week for LatAm Equity Flows

LatAm equity had a strong week, marked by inflows into the region’s main fund groups, according to EPFR Global. Optimism was running high as some investors speculated the current slowdown has hit a bottom, and that commodity prices would remain strong going forward, says EPFR. Brazil equity funds saw inflows of $114.4m in the week ended April 23, which increased its assets under management (AUM) by 3.2% to $14.1bn. Mexico country funds saw inflows of $54.7m, a 3.4% rise in AUM. LatAm equity gobbled up $804.4m, which increased its AUM by 3.6% in the week. In the rest of EM, optimism prevailed, but was more muted. Diversified global EM funds took in $361m while Russia country funds swelled $248m. Year to date, LatAm is the only EM equity fund group to post a collective gain on portfolios, says EPFR. Meanwhile, dedicated LatAm equity funds lost 1.09% in the week ended April 24 on a total returns basis, according to Lipper. China region funds were the biggest gainers of the week, with 7.53%, while EM market funds gained 1.13%. Gold oriented funds experienced the biggest drop of the week, shedding a whopping 10.41%.