In October, Foreign Securities Investment Funds Turned to Net Outflow After One Month... Stock Funds Outflow

Announcement on "International Financial Foreign Exchange Market Trends Since October 2021" on the 10th

[Asia Economy Reporter Jang Sehee] Last month, foreign investors' domestic securities investment funds turned to net outflow after one month. This was due to the domestic stock market also turning to net selling and the net inflow of bonds shrinking to around 2.2 billion KRW.

According to the 'International Financial Foreign Exchange Market Trends since October 2021' announced by the Bank of Korea on the 10th, foreign investors' domestic securities investment funds recorded a net outflow of 45 million USD last month. This marked a return to net outflow just one month after a net inflow of 7.01 billion USD in September.

Last month, foreign investors net sold stocks worth 2.65 billion USD in the domestic stock market.

Looking at the flow of foreign stock investment funds, they switched to net selling in June (440 million USD), July (3.06 billion USD), and August (4.45 billion USD), but returned to net buying of 2.42 billion USD in September.

The inflow trend of foreign funds into the domestic bond market continues, but the scale of inflow has decreased compared to 4.6 billion USD in September.

The Bank of Korea evaluated, "Stock funds turned to net outflow due to concerns over the slowdown in corporate profit growth and investment sentiment contraction caused by expectations of tapering by the U.S. Federal Reserve (Fed). Bond funds continued to see net inflows mainly centered on public funds."

This content was produced with the assistance of AI translation services.