Companies listed in the Eurozone score best on Environmental, Social and Governance criteria, according to Morningstar research, with Portugal getting the highest score. On the other end of the scale, two of the BRICS countries get the lowest marks.
Emerging markets saw strong net inflows in August and September while outflows from European equity funds continue relentlessly.
European investors have been seeking exposure to commodities at an unprecedented scale in the first eight months of the year. Active commodity funds, however, are losing out.
The same research house that slammed smart beta ETFs earlier this year for being too expensive compared to plain vanilla index trackers has now found that the former are gaining market share, while fees are being reduced.
The popularity of bond funds was reinforced by the Brexit vote. While all fixed income asset classes saw net inflows, investors especially flocked to emerging market debt in July, according to fund flows data from Morningstar.
European equity funds experienced their largest ever monthly net outflows in July, beating the previous record set in January 2008, according to Morningstar fund flows data.
The average net expense ratios of European-domiciled funds have come down across the board since 2013, according to a study by Morningstar.
If fund flows are a reliable sentiment gauge, investors were at their most bearish since the autumn of 2011 on the eve of the Brexit vote. And the referendum outcome has only exacerbated this trend.
European investors are sitting on large cash piles, and are waiting for volatility to ease a bit before hunting for opportunities.
The five European equity funds that managed to finish top-quartile for the past three consecutive years do not have a great deal in common. But there’s one feature they (almost) all share.
New research by Morningstar challenges assumptions about the threat ETFs pose to the stability of high yield markets, especially during times of crisis.
European investors have been selling out of equities this year and have piled into credit instead. Net monthly inflows into corporate bond funds and ETFs reached an all-time record in April, according to Morningstar data.
