Fresh figures from the London Stock Exchange (LSEG) show that investors are becoming increasingly nervous about stock market volatility following an uncertain interest rate outlook, and have pulled large sums out of global equity funds in the past four weeks to 24 April.
According to Reuters, investors have withdrawn values worth 2.7 billion dollars in the last week, approximately 29.8 billion Norwegian kroner. It is still a pittance compared to the week before, when 23 billion dollars, approximately NOK 254 billion, flowed out from global equity funds.
U.S. equity funds saw outflows of $1.2 billion in the week ended April 24, while European equity funds saw $6.3 billion worth of assets leave them that week.
Asian equity funds, on the other hand, have experienced a massive inflow, particularly driven by Japanese equity funds, of 5.1 billion dollars.
Deducted against bonds
If you look more closely at the sector funds, it is the technology funds that have had the largest share of dollars leave them in the last week, where 770 million dollars have flowed out.
In contrast, mutual funds with a predominance of energy and industrial shares have seen an inflow of 544 and 588 million dollars, respectively, writes Reuters.
It also appears that investors are increasingly drawn to bond funds, which saw an inflow of $2.17 billion this week, up from $820 million the previous week.
