India ETFs face record-breaking outflows as a wave of withdrawals occurs before Asian stock markets rebound

Before the Asian stock markets sharply rebounded on the first trading day of April, the largest-scale exchange-traded fund (ETF) listed in the U.S. that tracks a single Asian country—such as India—saw a record outflow of funds in March. Data compiled by Bloomberg show that in March, traders withdrew a record $1.4 billion from BlackRock’s iShares MSCI India ETF (INDA), which has $6.7 billion in assets. This reflects that pressure facing Asia’s energy-focused economies is intensifying. India was hit by a weaker local currency, rising yields, and concerns about earnings.

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