ETFs Lose $8B As Equities Suffer

U.S.-listed ETFs saw $8 billion in outflows in the week ended March 25, marking the first weekly outflows since late September 2021. The losses were driven primarily by the usually dominant U.S. equity asset class suffering a $14.1 billion net loss in its worst week so far this year. 

The U.S. ETF industry has garnered $174.9 billion in net assets year-to-date and manages just over $7 billion in assets as of the end of trading Friday. 

Bonds Break Out 

Hawkish comments from the Fed sent billions into the short and long ends of the maturity curve for treasury ETFs, with the iShares 20+ Year Treasury Bond ETF (TLT) and the iShares Short Treasury Bond ETF (SHV) leading all ETFs, with inflows of $2.6 billion and $1.06 billion, respectively. 

The iShares iBoxx USD Investment Grade Corporate Bond ETF (LQD) and the Vanguard Total Bond Market (BND) added $737 million and $636 million, respectively, to round out fixed income funds in the top 10. 

The  Invesco QQQ Trust (QQQ) was the largest equity ETF to gain in the week, with a $988.4 million haul, while the SPDR S&P 500 ETF Trust (SPY) added $671.5 million. 

The SPDR Gold Trust (GLD) returned to the top 10 last week, with a $671 million inflow. 

Vanguard Funds Take Individual Outflows 

The iShares iBoxx USD High Yield Corporate Bond ETF (HYG) saw the largest outflows on the week by far, with a $2.6 billion loss, as Fed speakers last week signaled their intent to let expiring bonds on its gargantuan balance sheet roll off this year, meaning pandemic-era support for the corporate credit market is coming to an end. 

Although Vanguard ended the week with a net inflow just shy of $1.8 billion, several of its largest ETFs saw the steepest outflows on the week among all U.S.-listed funds. Five Vanguard funds lost at least $1 billion each and a combined $8 billion during the period, with the Vanguard Total Stock Market ETF (VTI) losing approximately $1.8 billion. 

For a full list of last week’s top inflows and outflows, see the tables below: 

Top 10 Creations (All ETFs)

Top 10 Redemptions (All ETFs)

ETF Weekly Flows By Asset Class

Asset Classes (Year-to-Date)

Top 10 Weekly Performers, Excluding Leverage/Inverse Funds and <1,000 Shares Traded

Top 10 YTD Performers

Disclaimer: All data as of 6 a.m. Eastern time the date the article is published. Data is believed to be accurate; however, transient market data is often subject to subsequent revision and correction by the exchanges.