Asian equities see biggest foreign outflows in years

Asian equities witnessed theirlargest monthly foreign outflows in nearly sixyears in November, driven by aselloffin high-flying technology stocks as concerns over stretched valuations prompted investors to cut exposure.

- GAURAV DOGRA

Foreigners sold a net $22.1 billion of shares in November across Taiwan, South Korea, India, Thailand, Indonesia, Vietnam and the Philippines, marking the heaviest monthly outflow since the $33.32 billion net sale in March 2020, LSEG data showed.

Taiwan saw $12.04 billion in net foreign selling, while South Korea recorded $9.75 billion, its biggest monthly outflow since March 2020.

Herald van der Linde, head of equity strategy for Asia Pacific at HSBC, said the moves reflected rising unease about howlong the artificial intelligence (AI)-driven rally could last.