Foreign buying of Chinese stocks continued for a third month in August but at a slower pace, as long-only funds raised their exposure to the mainland's US$12.3 trillion stock market after a key benchmark hit a 10-year high, reports Hong Kong's South China Morning Post.
Inflows from US and European funds into Chinese equities slowed to $900 million in August from $2.7 billion in July, according to a Morgan Stanley report. Passive funds recorded inflows of $1.4 billion, while active funds posted outflows of $500 million, the lowest level since mid-2023.
These figures brought year-to-date cumulative foreign long-only fund inflows to $1 billion, a turnaround from outflows of $17 billion during the same period last year.
Morgan Stanley noted stronger engagement from high-net-worth investors in onshore private funds and early signs of rotation from money market funds into equity funds.
Retail investor activity increased slightly but remained well below previous peaks, the report added.
SeaNews Turkey
Inflows from US and European funds into Chinese equities slowed to $900 million in August from $2.7 billion in July, according to a Morgan Stanley report. Passive funds recorded inflows of $1.4 billion, while active funds posted outflows of $500 million, the lowest level since mid-2023.
These figures brought year-to-date cumulative foreign long-only fund inflows to $1 billion, a turnaround from outflows of $17 billion during the same period last year.
Morgan Stanley noted stronger engagement from high-net-worth investors in onshore private funds and early signs of rotation from money market funds into equity funds.
Retail investor activity increased slightly but remained well below previous peaks, the report added.
SeaNews Turkey
