Emerging market debt funds had inflows of $218.9 million for the week ended April 9, based on the 168 funds tracked by EmergingPortfolio.com Fund Research. The funds gained 2.2% in total assets in that week, to $10.3 billion. This is the strongest week for inflows into emerging market bond funds since EPFR began tracking these funds in 1995. Year to date, emerging market bond funds have attracted inflows of $1.21 billion, far above the $177 million for the same period last year.
Brad Durham, managing director, fund research, said a lot more "crossover investors, who normally buy U.S. corporate and government bonds, are now investing in emerging market debt.