Net inflows to long-term funds in the Asia-Pacific region edged higher in a COVID-19 dominated first quarter, driven by strong demand for China and Japan-focused funds, Broadridge Financial Solutions reported Thursday.
The report, based on fintech and data analytics firm Broadridge's proprietary data, showed net inflows of $96 billion for the quarter ended March 31, up from $94 billion for the prior quarter.
Quarterly outflows in markets such as Thailand, Hong Kong and Singapore were more than offset by surprisingly strong online fund flows in China and heavy Bank of Japan purchases of exchange traded funds, Yoon Ng, Broadridge's Singapore-based senior director of APAC insights, said in an email.
Net inflows to equity funds, at $51 billion, accounted for more than half of the total, led by the Bank of Japan's continued heavy purchases of ETFs. The Bank of Japan's website showed roughly $23 billion in purchases over the quarter — with $3.9 billion in January, $5.1 billion in February and $14 billion in March.