Foreign institutional investors reduced the pace of funds flow into Asia in August, but India is still among those countries in the region that received the maximum inflows during the month, an HSBC survey says.
According to the global financial services major, FIIs continued to buy Asian equities in August, albeit at a slower pace than the previous month. Korea, Taiwan and India received the maximum inflows during the month, while Indonesia witnessed outflows.
Overall, Asian equities received USD 3 billion till August 25. Out of which, Korea received USD 1.4 billion, Taiwan (USD 800 million) and India (USD 700 million) — cornering the most inflows.
Meanwhile, Indonesia equities witnessed net outflows this month (- USD 100 million).
Total foreign inflows for the region stand at USD 36.7 billion so far this year.
- Lenovo k6 Power Video Review
- Bigg Boss 10 December 5 Review: Manveer Calls Swam Om ‘kachdaa’
- PM Narendra Modi Declared Winner Of TIME Magazine’s Person Of The Year – Reader’s Poll
- Paneerselvam sworn in as new Chief Minister of Tamil Nadu
- Tamil Nadu CM J Jayalalithaa Passes Away After Suffering Cardiac Arrest
- J.Jayalalithaa’s Life Journey
- Here’s Why Delhi-NCR Gets Pollution Code On Lines Of Beijing
- PM Modi Is More Interested In TRP Politics Rahul Gandhi At Congress Parliamentary Meet
- Bigg Boss 10 December 1 Review: Priyanka Jagga Succeeds In Her Divide And Rule Strategy
- Kahaani 2 Audience Reaction: Vidya Balan Starrer Thriller Gets Mixed Reviews
- Find Out What PM Modi Said About Demonetisation On LinkedIn
- Row Over West Bengal ”Military Coup” Issue Escalates: Who Said What
- Here’s How Mohammad Kaif Replied To Virender Sehwag’s Birthday Wish On Twitter
- West Bengal CM Mamata Banerjee’s Flight Reportedly Had Low Fuel: Here’s What Happened
- Reliance Jio Welcome Offer Extended Till March 31, JioMoney Launched
“China remains the most over-owned market in the region, followed by India,” the global brokerage firm said.
Among developed markets, funds have preferred Singapore over Hong Kong. Malaysia remains the least owned market in the region.
Meanwhile, mutual funds have turned more bullish and bought USD 8.0 billion worth of Asian equities in the past four weeks (ended August 20) compared with net inflows of USD 1.1 billion in the previous four weeks, according to EPFR Global.
“Global funds have also turned overweight on China, showing renewed confidence in its growth story. Thailand and Korea are the most-loved Asian market by global mutual funds,” HSBC said.
Funds are neutral on Philippines and India and underweight on other markets in the region. Singapore is the least-owned market by global funds.
At the sector level, consumer staples remained the most loved sector in the region, followed by materials and energy and mutual funds’ exposure to the energy sector is at a five-year high.
“Funds have turned overweight on industrials while they have maintained their neutral exposure in consumer discretionary. Telecoms, financials and IT are the least-owned sectors in the region,” HSBC said.