LatAm Equity Fund Outflows Continue

Latin America equity funds posted their seventh consecutive week of outflows in the 7-day period ended July 23, the longest downturn in over two years, says EPFR Global. Investors moved cash out of Mexico equity in the face of softer US demand for Mexican exports, reduced remittance flows from Mexicans working in the US and a recent drop in oil, says the fund tracker. LatAm equity funds meanwhile experienced drainage of $229.6m, or 0.48% of their $46.58bn assets under management (AUM). Brazil equity funds were also under pressure, losing $12.1m of their $13.85bn AUM. LatAm went against the winning flow of global EM equity funds, which took in $1.37bn in the week to end a 5 week, $6.8bn run of outflows, says EPFR.