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Estimates are of over $8 trillion in flows to the developing world since 2004. And Benoit Anne, head of EM strategy at Societe Generale, points out that during the years of Fed money printing alone, emerging markets received $4.2 trillion, according to the Institute for International Finance. So really, not much has come out in the recent selloff. Depending on how you look at it, that’s a cause for cheer (a lot of the recent inflows consist of “sticky†money and in for the long haul) or cause for gloom (there’s a lot more cash that could flee if sentiment gets worse) .
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