Chinese equity funds have suffered nearly $2bn of outflows from international investors in the first three months of the year, putting the asset class on track to record its fifth straight year of net withdrawals.
The outflows, which have stemmed predominantly from cross-border funds domiciled in Europe but sold internationally, demonstrate a stark divide in sentiment towards the Chinese stock market.
China’s mainland A-share market has surged 125 per cent in the past year, largely on the back of domestic retail demand for Chinese equities.
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