LatAm Equity Outflows Accelerate

LatAm equity funds lost $358.4m, or 0.66% of their assets under management, in the week ended June 25, according to EPFR Global. That is the biggest weekly outflow since the week ended January 23, says EPFR’s Brad Durham, noting sentiment for EM equities has been negative overall. Brazil outflows accounted for a significant portion of the capital flight from the region, seeing a departure of $119.5m, or 0.7% of AUM. Mexico funds, largely made up of the iShares index, lost $82.6m, or 5.3% of AUM. LatAm equity funds lost 2.73% in the week ending June 26, according to Lipper. EM funds dropped 3.67%, while China region funds sank 4.56% in a week where almost all funds reported losses. Dedicated short bias funds saw the biggest increase of the week, gaining 6.25%, while diversified leverage funds sank a whopping 8.72%, Lipper data shows.