Those EM “have’s” with exposure to either falling commodities, current account issues, political turmoil, or all of the above, are taking down all EM countries, even those who do not have (“have not”) the same exposure to such factors.
Last week, Emerging Market Equity Fund Flows were down for the 4th straight week with the largest outflows seen since the August 2011 bloodbath.
The Chilean economy has long been the model for Latin America and maintains the region’s highest credit ratings with Aa3 from Moody’s and A+ from Standard & Poor’s and Fitch.
Emerging markets funds continue a strong 4 week trend after last week’s inflow of $2.55 billion and this week’s $920 million. Additional good news is the unloved out of favor Asian region, continues to quietly receive the love.