IIF survey: Emerging market investors get 'jitters' in January

Geopolitical concerns

Money has flooded out of emerging market securities at breakneck speed in January as concerns over geopolitical tensions, monetary policies and recovery speeds gave investors the “jitters”, according to the latest data from the Institute of International Finance.

With flows into emerging markets totalling an estimated $1.1bn for the month, IIF said increased volatility has generally pushed investors out of their emerging market bets. In December last year, IIF said foreign investment in emerging markets had come to an "abrupt standstill". Following a global pattern, inflation still remains an issue for many policymakers across the emerging market landscape while geopolitical tensions brew. Foreign investment in emerging markets outside China comes to 'abrupt standstill' IIF economist Jonathan Fortun said: "We see investors pulling money fro...