skip to main content
Close Icon We use cookies to improve your website experience.  To learn about our use of cookies and how you can manage your cookie settings, please see our Cookie Policy.  By continuing to use the website, you consent to our use of cookies.
Global Search Configuration

Flows and allocations to different sectors and sector-related fund groups over the past 14 months have been marked by conviction, record inflows – and sharp changes of direction. EPFR’s data also captures some significant thematic shifts.

30 March 2022
A rotation towards technology with Chinese characteristics

China’s suspension of Ant Group’s planned IPO in November 2020 signaled the start of a broader crackdown on the Chinese tech sector. Investors initially responded by bailing out of China Technology Sector Funds and rotating to funds with US or global mandates.

That rotation went into reverse in 3Q21, with China Technology Sector Funds starting a run that has seen them absorb over $22 billion. These flows have persisted despite the continued tightening of China’s regulatory grip on this sector.


Cheap valuations, clear rules that are absent in other markets, clear government support for technology companies operating in ‘strategically significant’ areas and rising barriers to new entrants underpin the current interest in Chinese technology plays.


To learn more about EPFR Data and sector rotation insight, visit: https://financialintelligence.informa.com/epfr-spotlight-sector-rotation

 

Any questions? Speak to a specialist

Would you like to request sample data or analysis from Informa Financial Intelligence? 

See how our tailored solutions can help you gain a competitive advantage: