Europe has become the ugliest duckling in a market where there are hardly any swans. Its stock market indexes have earned the dubious honor of earning the premier spot in rankings for top losses.
But its fixed income markets, with some exceptions, have continued to amass rebounds in yields owed to strong sales from investors. And European economies are closer to ending the year mired in recession than entering a period of light recovery.
All of this would explain why the European market has amassed 85% of all its contributions in investment funds and ETFs considering that, according to data from Morningstar collected at the end of October, funds based in Europe have taken on 121.119 billion dollars in net contributions compared to 143 billion in net withdrawals that the industry has suffered worldwide.
The significant withdrawals seen this year in European financial products contrast greatly with data from United States funds that, although they are also seeing more withdrawals than contributions, they have registered net contributions of just over 4 billion dollars.
This figure is not only thirty times less than the equivalent European statistic, but also close to the 7 billion euros in contributions that have been added to purely Spanish products according to data from Inverco.
