Investors Pour Into Chinese Bond ETFs As Deflation Persists

www.zerohedge.com

By Charlie Zhu and Helen Sun, Bloomberg markets live reporters and strategists

Three things we learned last week:

1. Chinese investors are flocking to exchange-traded funds that hold bonds, shifting away from equity ETFs as passive bets on fixed-income become increasingly popular. Inflows into fixed-income ETFs in China have totaled $8.7 billion over the past month, while about the same amount of money has left equity ETFs over the same period, data compiled by Bloomberg showed.