Institutional equity strategies experienced net inflows for the first time since the first quarter of 2012, eVestment’s quarterly report on global institutional asset flows shows.
Equity strategies reported net inflows of $14.9 billion from institutional investors in the third quarter of 2014, according to eVestment.
Institutional money managers experienced $22.7 billion in total net inflows in the third quarter, compared to net outflows of $80 billion in the previous quarter.
EAFE and ACWI ex-U.S equity strategies reported $11.5 billion combined in net inflows in the third quarter; emerging markets equity, $8.9 billion; and global equities, $4.4 billion. During the same period, domestic equities reported net outflows of $36.7 billion, primarily due to U.S. large-cap growth outflows of $16.6 billion.
Fixed income posted $6.6 billion in total net outflows in the third quarter. Outflows from U.S. bonds ($29.2 billion) were largely driven by U.S. core-plus fixed income with outflows of $20.4 billion. U.S. core fixed income posted inflows of $14 billion and eVestment’s global unconstrained fixed income universe, $10 billion.
Balanced multiasset strategies reported net inflows of $12.7 billion, while emerging markets debt experienced $1.3 billion in net outflows.
eVestment’s U.S. floating-rate bank loan universe had outflows of $1.9 billion.
The report also found that corporate pension plans favored emerging markets equities and emerging markets debt in the third quarter; public pension funds, global bonds; sovereign wealth funds, global equity; and union/multiemployer plans, ACWI ex-U.S. equity.