Global investors are pulling a record amount of capital from Asia’s emerging-market stocks — with China a notable exception.
The region is especially vulnerable to energy disruptions stemming from the war, and oil-reliant nations like Taiwan, South Korea, and India saw the steepest outflows, Bloomberg reported, surpassing the pandemic-driven exodus of March 2020.
However, investors are rushing toward Chinese renewable energy stocks, betting that oil shortages will fuel more demand for green tech, a sector China dominates. The industry has been beset by oversupply but higher demand would boost their balance sheets, analysts said.
“After this war, people would have a second thought on gas-powered cars,” one bullish hedge fund manager told Reuters.
