Investors are shifting their focus from the safety of money market funds to Asian equity funds.
Asia ex-Japan equity funds have continued to attract the biggest inflows among the four major emerging market equity fund groups, taking in $1.2 billion globally in the week ending 20 May, according to global data firm EPFR Global.
Total inflows into Asia ex-Japan equity funds for the year ending 20 May were $8.8 billion.
At the country level, funds geared to China posted inflows for the eighth consecutive week, but the $347 million they took in represented a five-week low, according to the data.
"Investors shifted some of their focus to markets that supply China with raw materials, committing another $506 million to Brazil equity funds," EPFR Global said.
India equity funds tracked their second-best weekly year-to-date figures following the country's election outcome, with voters giving the ruling Congress Party a fresh mandate.
"Investors worldwide are clearly anxious to put their money back to work," EPFR Global managing director Brad Durham said.
Investors were now pulling their money out of money market funds, which normally provided safety and minimal return, in favour of emerging market equity funds, Durham said.
Total outflows from these funds were $99.3 billion for the year to 20 May.
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