Capital outflow from Russian funds comes to $178 mln for Sept 6-12 - EPFR
MOSCOW. Sept 14 (Interfax) - According to Emerging Portfolio Fund Research (EPFR), outflow of capital from funds investing in Russian shares for the week of September 6-12 became the second biggest amount for 2012, totalling $178 million compared to $51 million in outflow in the previous week.
Therefore, between the start of 2012 and September 12, total inflow to Russian funds came to $729 million.
"The outflow of money from Russian funds last week was not only the second biggest amount for 2012. It was also the biggest result among the main emerging markets. It is clear that the Russian market is now not the most popular among investors in emerging markets. However, in light of the new round of quantitative easing announced on Thursday by the U.S. Federal Reserve, we expect an increase in prices for raw materials, which, in turn, will likely have a positive influence on related instruments such as Russian shares. As soon as the situation becomes clearer and the macroeconomic situation in Europe starts to improve thanks the European Central Bank's efforts such as the creation of more favorable trends on credit markets, we can expect an inflow of funds to Russian shares," experts at Uralsib Capital said in an analytical note.
