Mar 3, 2020 - Economy & Business

Investors sold out of emerging markets in February

Data: Institute of International Finance; Chart: Axios Visuals
Data: Institute of International Finance; Chart: Axios Visuals

Portfolio flows to emerging market assets fell to $3.4 billion last month, as equity flows were negative and debt flows fell by 60% from their January level, data from the Institute of International Finance showed.

Details: Investment in the less developed nations' securities saw a "dramatic collapse of flows in the last one-and-a-half weeks, when the increasing spread of the coronavirus rattled global financial markets," analysts said in a report.

  • "While the impact of coronavirus was first noticeable in January and was contained to China; a wider spread of the infection in recent weeks made a dent in other geographical areas, especially in EM Asia."

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