Banner year for emerging market inflows

Last year was a banner year for inflows into emerging markets globally, mainly due to the massive rotation of funds out of developed markets. Net inflows into emerging market funds worldwide nearly doubled to $40.83 billion last year compared with $22.44 in 2006, according to data from Massachusetts-based EPFR Global.Fund flows to emerging markets surged from July onwards, after the fallout from the US subprime mortgage crisis. The US credit crunch turned sentiment around for emerging…