Asia Flow Overview

EM Asia portfolio outflows moderated in August, but September MTD data point to signs of a renewed pickup in outflow pressure. Equity outflows have broadened in September. Korean equity outflows accelerated marginally to USD 10bn MTD as of Sep 22; on a cumulative basis foreign investors have sold USD 120bn of Korean equities, putting 2026 on track for the most outflows on record, with foreign ownership declining to 37.3%. Korean bonds received USD 1.8bn inflows following a brief outflow window in August. Indonesian bonds continue to stand out in ASEAN, extending their inflow streak into a fourth consecutive month since June. Indian equities saw USD 1.2bn of outflows MTD, with YTD outflows of USD 25bn and foreign ownership at a record low of 15.1%;