Investors pull cash from China-region equity funds

The breakdown in trade talks between the United States and China has contributed to investors pulling cash from US-based China region equity funds in the past week, data from Lipper shows, said the South China Morning Post.

According to the weekly portfolio flows tracked by Lipper, a division of data provider Refinitiv, investors in US-based funds pulled a net $690 million out of China-region equity mutual funds, marking the biggest net outflow in exactly three years.

“The net outflows for China region funds have grown from $60 million to $124 million to $690 million over the last three weeks,” said Pat Keon, senior research analyst at Lipper. “This seems to be in direct correlation with the escalation of the US/China trade war over the same time frame.”