Investors snap nine-week buying streak in global equity funds

Group 1 - Global equity funds experienced their first weekly outflow in 10 weeks, with a net withdrawal of $4.48 billion, driven by concerns over stretched valuations, particularly in the tech sector [1][2] - U.S. and European equity funds saw significant divestments of $4.56 billion and $1.21 billion, respectively, while Asian equity funds attracted approximately $170.37 million in investments [2] - The tech sector, particularly AI, is viewed as a market driver, but high valuations pose a risk of disappointment, leading to a more selective assessment of investments in this area [3] Group 2 - Euro-denominated bond funds faced a net outflow of $3.58 billion, marking the first weekly net sales since July 9, while short-term bond funds gained $5.56 billion in net purchases for the fourth consecutive week [4] - Money market funds saw an addition of $2.54 billion, ending a two-week selling trend, indicating a shift in investor sentiment towards safer assets [4] - Emerging markets attracted $3.34 billion in equity fund investments, the highest since July 9, alongside a marginal increase of $5.98 million in bond funds [5]