Investors sold $7 billion (€6.3 billion) of exchange-traded products (ETPs) in August across Europe, Middle East and Africa. It was the largest monthly outflow on record, according to BlackRock, the asset manager.
The outflows were exclusively out of equity products, which had $13 billion in redemptions – another record, and which compares to a previous record of $5.4 billion in April 2012.
However, fixed income flows remained strong at $4.3 billion of investments, while gold and silver products gained the most after $1.8 billion of inflows into commodity ETPs for a second consecutive month.
Outflows from equities were spread widely, apart from US equities which gathered $99 million. Given the escalation in trade tensions, said BlackRock, emerging market equities lost $3.7 billion – another record monthly outflow.
The last outflow month of similar magnitude was in June 2018 when emerging market ETPs had $2.1 billion of redemptions.
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