Morningstar’s latest fund flow figures reveal long-term European funds continue to see substantial demand from investors and that Aberdeen has now had more than a year of negative fund flows.
The resurgence of global emerging markets is demonstrated in Morningstar’s latest monthly figures, as investors sent €2.87bn (£2.29bn) into global emerging-markets bond funds last month.
May also witnessed the third consecutive month of positive inflows for global emerging-markets equities.
Open-end funds posted net inflows of €30.4bn (£24.35bn) in May, and fixed-income funds welcomed €14.13bn (£11.31bn), the highest inflows of any asset class.
Global bond funds and US dollar diversified bond funds continued to reel under outflows from the large flagship Franklin Templeton and Pimco funds, an ongoing trend of the last 13 months.
Emerging markets and Asia specialist Aberdeen experienced outflows of €304m (£243.56m) in May, the fourteenth consecutive month of negative flows for the firm, Morningstar stated.
A source close to Aberdeen said the outflow figures were only for UK and Luxembourg funds and not US funds.
Of the fund providers receiving the largest inflows in May, BlackRock gained the most assets for the month at €2bn (£1.6bn), with Pioneer Investments, JPMorgan, UBS, M&G, UBS, Allianz Global Investors, Nordea, Goldman Sachs, and DNCA Finance all experiencing positive flows.
Ali Masarwah, of Morningstar’s asset flows team, said: “On the back of buoyant equity markets and increasing complacency of credit investors, open-end funds continued to attract investors in May.
“The resurgence of emerging-markets funds was also confirmed this month as investors sent nearly €3bn (£2.4bn) into global emerging-markets bond funds and, for the third month in a row, global emerging-markets equity funds enjoyed positive inflows.”
A spokesperson for Aberdeen declined to comment.
