JPMorgan: Emerging Markets Equity Strategy — Outflows Intensify; Green Shoots Emerge in ex-China EM Funds
Summaries are public. PDF access requires an active membership; all members have the same access. Sign in
For the week ending April 1, 2026, emerging market equity fund outflows intensified significantly to $3.9 billion, up from $654 million the previous week. This deterioration was primarily driven by ETFs, which swung to a substantial $3.1 billion outflow. Non-ETF redemptions persisted for a fifth consecutive week, though the pace slowed to $707 million.
Global emerging market (GEM) funds reversed course to record $1.1 billion in net inflows, largely propelled by $1.3 billion in passive inflows. Notably, ex-China EM funds accounted for $1.2 billion of these inflows. Latin American funds also rebounded with $199 million in inflows, while Asia ex-Japan funds suffered a massive $5 billion outflow. The EMEA region experienced outflows of $124 million for a fifth straight week.
Year-to-date, cumulative EM equity fund inflows have declined to $73.6 billion, down from a peak of $86.1 billion in early March. At the market level, major Asian economies continued to drive global redemptions. South Korea saw outflows accelerate to $8.6 billion, Taiwan moderated slightly to $4.8 billion, India held steady at $2.5 billion, and Indonesia joined the trend with $1.5 billion in outflows. Conversely, Brazil bucked the regional trend, accelerating its inflows to $883 million, while Turkey attracted $137 million.