Record Inflows into Equity Funds in the Ninth Week

Investor Interest in Global Equity Funds Grows

Global equity funds have seen inflows for the ninth consecutive week, as investors have set aside their concerns about high technology valuations following strong third-quarter financial results. During this period, in the week ending November 19, investors allocated a net of $4.43 billion to equity funds worldwide. This amount represents a notable increase over the previous week’s inflow of $4.39 billion.

Weaknesses in the Technology Sector Are Behind

Mark Haefele, Chief Investment Officer at UBS Global Wealth Management, indicated that the third-quarter financial results, led by the technology sector, were very strong, and the overall economic outlook remains resilient. In total, the third-quarter profits of 4,448 large and mid-sized companies increased by 15.66% year-on-year, significantly surpassing analysts' expectations of 8.23%.

Investor Movements: Regional Differences

Last week, investors directed $4.36 billion to U.S. equity funds and $3.13 billion to Asian equity funds, while there was an outflow of $6.03 billion from European-based funds. Notably, health sector funds recorded the highest weekly inflow of $2.46 billion since 2022. Meanwhile, respective outflows of $1.12 billion and $895 million occurred from consumer and technology funds.

Global Bond Funds and Precious Metal Inflows

Global bond funds received inflows of $10.55 billion for the 31st consecutive week. In money market funds, a total outflow of $7.51 billion was recorded for the second week. Additionally, gold and precious metal funds attracted $5.2 billion, marking the strongest weekly inflow as of October 22.