Investment fund redemptions continue to moderate after March sell-off
Net redemptions of Hungarian investment fund units came to HUF 32 billion in May, declining from HUF 39 bln in the previous month, data released by the National Bank of Hungary (MNB) on Monday show, according to a report by state news wire MTI.
The monthly redemptions pale in comparison to the HUF 263 bln sell-off of investment fund units in March, amidst market volatility caused by the coronavirus crisis.
In the period before March, there was a net subscription of Hungarian investment fund units each month since November.
The net asset value of Hungarian investment funds came to HUF 7.205 trillion at the end of May, down 0.32% or HUF 23 bln from the previous month. In addition to net redemptions, exchange rate changes erased HUF 21 bln of fundsʼ value, while price changes added HUF 30 bln.
SUPPORT THE BUDAPEST BUSINESS JOURNAL
Producing journalism that is worthy of the name is a costly business. For 27 years, the publishers, editors and reporters of the Budapest Business Journal have striven to bring you business news that works, information that you can trust, that is factual, accurate and presented without fear or favor.
Newspaper organizations across the globe have struggled to find a business model that allows them to continue to excel, without compromising their ability to perform. Most recently, some have experimented with the idea of involving their most important stakeholders, their readers.
We would like to offer that same opportunity to our readers. We would like to invite you to help us deliver the quality business journalism you require. Hit our Support the BBJ button and you can choose the how much and how often you send us your contributions.