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Technology Stocks : COMS & the Ghost of USRX w/ other STUFF -- Ignore unavailable to you. Want to Upgrade?

To: jhild who wrote (10945)	12/19/1997 1:43:00 PM
From: Glenn D. Rudolph	Read Replies (1) \| Respond to of 22053

U.S. and European Investors Increase Exposure to Foreign Equities in Third Quarter Despite Turmoil in the Asia-Pacific Region PR Newswire - December 19, 1997 13:15 %FIN %ECO V%PRN P%PRN NEW YORK, Dec. 19 /PRNewswire/ -- The following global equity news was released today from Technimetrics Incorporated: U.S. institutional investors increased their foreign exposure to international equities in the third quarter, overcoming a sharp drop in Asia- Pacific equity holdings. Investors in Asian stocks were jolted by plunging currency and crashing stock markets in the region. The total market value of reported U.S. holdings in international equity securities climbed $27.8 billion to $576.4 billion, a gain of 5.1% in the third quarter. U.S. ownership of European and Canadian equities rose while investments in Latin American equities slipped and Asia-Pacific equities tumbled in the quarter. For the most part, weakness in Brazil, one of Latin America's bigger markets, combined with financial turmoil in the Asia-Pacific region contributed to declines in U.S. international equity portfolios. Despite the turbulence in Asia, European investors also saw their international equity portfolios rise in the third quarter. The total market value of international equities owned by European institutional unit and investment trusts increased $12.3 billion in the quarter to $373.7 billion, a gain of more than 3%. Similar to U.S. investors in Latin American and Asia- Pacific equities, European fund holdings in these regions also fell in the quarter. At the same time, however, the market value of European fund holdings of U.S. and non-domestic European equities climbed higher. Non- domestic European holdings represent all investments made by a European institution outside of its own country, but within a country in the European region. The overall increases however, mask considerable deterioration in U.S. and European Asia-Pacific investments to dollar levels not seen by these investors in this market since 1995. In fact, U.S. institutional investment in Asia- Pacific equities has declined in each of the last four quarters while European fund investments in Asian stocks has declined in each of the last three quarters. In the third quarter, U.S. investment in Asia-Pacific equities dropped by 11%, or $10.7 billion to $86.4 billion. European holdings in Asia- Pacific equities plunged by more than 13%, or $10.6 billion to $66.6 billion. U.S. and European investors in Japanese and Hong Kong equities endured a particularly rough quarter. In total, U.S. investments in Japanese and Hong Kong stocks dropped $6.4 billion in the third quarter, while European holdings in Japanese and Hong Kong equity issues declined $6.8 billion in market value. Given the stock market gyrations, corporate failures and financial unrest which have occurred in Asia in the fourth quarter, international investors in the U.S. and Europe may be bracing themselves for further setbacks in their Asia-Pacific portfolios. The European regional share of U.S. international investment increased in the quarter. European equities comprised 62.3% of the total U.S. international portfolio at the end of the third quarter, up from 58.8% at the end of June. U.S. ownership of European stocks grew $36.5 billion to $359.0 billion in the third quarter. U.S. equity holdings rose in England, France, The Netherlands and Switzerland. As regional stock markets within Europe moved higher during the quarter, U.S. institutional money managers acquired stakes in the ordinary shares of companies like: British Energy p.l.c. and Railtrack Group p.l.c. in England; Novartis AG in Switzerland; and Royal Dutch Petroleum and Philips Electronics in The Netherlands. Holdings by U.S. investors in Latin American equities stumbled $2.3 billion in the quarter. U.S. investments in Brazil slipped $2.1 billion while investments in Mexico fell $0.6 billion. Meanwhile, U.S. ownership of Canadian stocks grew for the second consecutive quarter, rising nearly $2.0 billion to $57.7 billion in the third quarter. European investments in non-domestic European equities or cross-border securities grew by $17.5 billion. European holders of British equities registered the largest market value gains rising nearly $3.2 billion higher. Other significant market value gains came from equity issues held in France, The Netherlands and Switzerland. European institutions investing in U.S. equities recorded gains in their portfolio positions. European fund managers benefited from a rising, but choppy U.S. stock market as equity holdings climbed $6.5 billion to $90.6 billion. In contrast, investments in Latin American equities hampered European portfolios. European ownership of Latin American equities declined $2.1 billion to $12.8 billion. European holdings in Brazilian equities led the retreat falling $3.3 billion in market value. U.S. Ownership of International Equities Region September 1997 June 1997 Asia-Pacific $86.4 Billion $97.1 Billion Latin America $43.3 Billion $45.6 Billion Europe $359.0 Billion $322.5 Billion Canada $57.7 Billion $55.7 Billion Other $30.2 Billion $27.8 Billion TOTAL $576.4 Billion $548.7 Billion European Ownership of International Equities Region September 1997 June 1997 Asia-Pacific $66.6 Billion $77.2 Billion Latin America $12.8 Billion $15.0 Billion U.S./Canada $95.3 Billion $88.6 Billion Non-Domestic Europe $191.4 Billion $173.8 Billion Other $7.5 Billion $6.8 Billion TOTAL $373.7 Billion $361.4 Billion Founded in 1968, Technimetrics, Inc. is a leading information service company specializing in the creation and development of global financial research, business-to-business marketing research and investor relations consulting services. The firm is a source of worldwide institutional shareholder information. The figures for international investment are drawn from Technimetrics', Share/World database, which tracks the equity holdings of nearly 50,000 global equity issues and 15,000 portfolios including mutual funds, unit and investment trusts, and overseas equivalents gathered from 5,500 money management institutions around the world. In addition, the totals for country investments reflect a combination of factors, including net investment, individual market performance, and currency fluctuation. SOURCE Technimetrics, Inc. /CONTACT: Vincenzo Alomia of Technimetrics, Inc., 212-509-5100/ /Web Site: www.technimetrics.com/