Fixed Income ETFs Power Weekly Flows Of $8.2B
'GBIL,' 'TLT' and 'HYG' were some of the fixed-income winners this week.
Overall, $8.2 billion flowed into U.S.-listed ETFs during the week ending Thursday, July 13, according to the latest data from FactSet. With the exception of commodities, which had outflows of $500 million, most other segments saw net inflows.
That includes U.S. equity ETFs, which picked up $3.5 billion of new money from investors as the S&P 500 zoomed to a fresh record high. The index was last trading around 2,460, up 10.5% year-to-date.
Dovish comments from Fed Chair Janet Yellen in front of Congress raised speculation that the central bank may lift rates more slowly than expected. Yellen said that inflation was still quite low and that the federal funds rate won't have to rise much more to get to a neutral policy stance.
Those dovish comments also sparked buying in bond markets. The U.S. 10-year Treasury yield dipped 7 basis points week-over-week to 2.32% (bond prices and yields move inversely). U.S. fixed-income ETFs had the largest inflows of the period, with creations totaling $3.8 billion.
The only other segment to see notable inflows was international equity ETFs, with creations of $1.6 billion. Year-to-date, net inflows for all ETFs equals $259.3 billion.
Surge Of Demand For 'GBIL'
Easily taking the No. 1 spot on the weekly inflows list was the PowerShares QQQ Trust (QQQ). Its $2.9 billion worth of inflows beat out the iShares Core MSCI EAFE ETF (IEFA), which gathered $1.7 billion of its own.
A host of fixed-income ETFs also made the top 10, including the iShares 20+ Year Treasury Bond ETF (TLT), the iShares iBoxx $ High Yield Corporate Bond ETF (HYG), the iShares Core U.S. Aggregate Bond ETF (AGG), the iShares Short Treasury Bond ETF (SHV) and the SPDR Bloomberg Barclays Convertible Securities ETF (CWB). Each had inflows of $250 million to $600 million during the period.
But the biggest standout among fixed-income ETFs was the Goldman Sachs TreasuryAccess 0-1 Year ETF (GBIL). This ETF had inflows of $450 million, equal to a whopping 500% jump in its assets under management.
DBEF Assets Plunge
Meanwhile, on the outflows side, this week's biggest loser was the Deutsche X-trackers MSCI EAFE Hedged Equity ETF (DBEF), with redemptions of $1.1 billion. Despite the enthusiasm about international equity ETFs this year, DBEF has largely been shunned by investors.
The iShares MSCI Japan ETF (EWJ), with outflows of $807 million, was another international equity ETF to fall out of favor during the week.
On the fixed-income front, the iShares JP Morgan USD Emerging Markets Bond ETF (EMB), had the largest outflows, at $270 million.
The SPDR Gold Trust (GLD), with outflows of $453 million, was another notable loser.
For a full list of this week's top inflows and outflows, see the tables below:
Top 10 Creations (All ETFs)
| Ticker | Name | Net Flows ($,mm) | AUM ($, mm) | AUM % Change |
| QQQ | PowerShares QQQ Trust | 2,879.07 | 53,819.43 | 5.65% |
| IEFA | iShares Core MSCI EAFE ETF | 1,664.58 | 31,446.02 | 5.59% |
| TLT | iShares 20+ Year Treasury Bond ETF | 567.13 | 8,046.35 | 7.58% |
| IVV | iShares Core S&P 500 ETF | 525.47 | 117,625.83 | 0.45% |
| GBIL | Goldman Sachs TreasuryAccess 0-1 Year ETF | 450.02 | 540.05 | 499.82% |
| HYG | iShares iBoxx $ High Yield Corporate Bond ETF | 341.76 | 18,035.09 | 1.93% |
| AGG | iShares Core U.S. Aggregate Bond ETF | 337.55 | 48,003.13 | 0.71% |
| SHV | iShares Short Treasury Bond ETF | 297.75 | 5,381.67 | 5.86% |
| CWB | SPDR Bloomberg Barclays Convertible Securities ETF | 253.63 | 4,258.50 | 6.33% |
| IWO | iShares Russell 2000 Growth ETF | 245.16 | 8,117.17 | 3.11% |
Top 10 Redemptions (All ETFs)
| Ticker | Name | Net Flows ($,mm) | AUM ($, mm) | AUM % Change |
| DBEF | Deutsche X-trackers MSCI EAFE Hedged Equity ETF | -1,116.56 | 7,504.12 | -12.95% |
| SPY | SPDR S&P 500 ETF Trust | -1,059.77 | 236,445.30 | -0.45% |
| EWJ | iShares MSCI Japan ETF | -806.89 | 16,460.33 | -4.67% |
| GLD | SPDR Gold Trust | -452.79 | 32,474.34 | -1.38% |
| IYR | iShares U.S. Real Estate ETF | -373.23 | 4,372.92 | -7.86% |
| IWM | iShares Russell 2000 ETF | -365.63 | 37,307.41 | -0.97% |
| EMB | iShares JP Morgan USD Emerging Markets Bond ETF | -270.46 | 11,717.68 | -2.26% |
| XRT | SPDR S&P Retail ETF | -260.25 | 148.39 | -63.69% |
| JNK | SPDR Bloomberg Barclays High Yield Bond ETF | -239.23 | 11,656.65 | -2.01% |
| IWD | iShares Russell 1000 Value ETF | -190.91 | 36,384.37 | -0.52% |
ETF Weekly Flows By Asset Class
| Net Flows ($, mm) | AUM ($, mm) | % of AUM | |
| U.S. Equity | 3,482.31 | 1,676,385.23 | 0.21% |
| International Equity | 1,639.93 | 679,399.71 | 0.24% |
| U.S. Fixed Income | 3,760.97 | 481,026.99 | 0.78% |
| International Fixed Income | -125.28 | 51,329.60 | -0.24% |
| Commodities | -498.31 | 61,233.00 | -0.81% |
| Currency | -9.77 | 1,476.48 | -0.66% |
| Leveraged | 219.25 | 28,651.15 | 0.77% |
| Inverse | -225.96 | 16,336.06 | -1.38% |
| Asset Allocation | 32.10 | 7,264.41 | 0.44% |
| Alternatives | -25.61 | 3,743.86 | -0.68% |
| Total: | 8,249.61 | 3,006,846.49 | 0.27% |
Top 10 Volume Surprises, Funds >$50 mm AUM
| Ticker | Name | Average Volume (30 Day) | 1 Week Average Volume | % of Average |
| LTPZ | PIMCO 15+ Year US TIPS Index ETF | 48,058 | 251,476 | 523.27% |
| HOLD | AdvisorShares Sage Core Reserves ETF | 526 | 1,413 | 268.55% |
| EUSC | WisdomTree Europe Hedged SmallCap Equity Fund | 53,369 | 160,911 | 301.51% |
| JJC | iPath Bloomberg Copper Subindex Total Return ETN | 58,735 | 160,376 | 273.05% |
| FEMS | First Trust Emerging Markets Small Cap AlphaDEX Fund | 50,030 | 192,445 | 384.66% |
| DBEM | Deutsche X-trackers MSCI Emerging Markets Hedged Equity ETF | 58,228 | 160,930 | 276.38% |
| MLPO | Credit Suisse S&P MLP Index ETN | 25 | 100 | 393.66% |
| DEW | WisdomTree Global High Dividend Fund | 5,287 | 11,768 | 222.58% |
| SJB | ProShares Short High Yield | 142,044 | 562,218 | 395.81% |
| EEMS | iShares MSCI Emerging Markets Small Cap ETF | 33,962 | 71,943 | 211.83% |
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.
