Emerging market portfolios recorded the lowest total inflows since 2008 as investors responded to global shocks last year by buying fewer of the developing countries' assets, a report issued by the Institute of International Finance (IIF) showed.

    The report further added, non-resident investors cut inflows to emerging market assets to $28 billion in 2016, with debt portfolios recording substantial outflows.

    In December, portfolio outflows totaled $3.4 billion, predominately in debt, to give 2016 the weakest level of inflows for emerging markets since the global financial crisis. The $28 billion of inflows for the year was also 90 percent below the average from 2010 to 2014, IIF said.

    Emerging markets have been particularly hard hit since the election in November of Donald Trump as US president where emerging market debt portfolios had $33.8 billion of outflows, while equity funds drew in $61.4 billion. Net capital flows from China were the primary driver of outflows with an estimated $96 billion during the year, intensifying from $70 billion in October.

    Turkey had the biggest net capital inflows, at $37 billion, followed by India ($33 billion) and Mexico ($30 billion). However, year-to-date net capital inflows to Brazil and India were almost less than half their 2015 levels.