Investors Pour $24 Billion Into ETFs Amid Trump Victory

Investors stampeded into U.S.-listed ETFs this week, elated that the long-awaited U.S. presidential election finally came to an end. In the week ending Thursday, Nov. 10, total inflows into U.S.-listed ETFs was an eye-popping $23.9 billion, according to FactSet. That pushed year-to-date inflows to $197 billion.

The bulk of this week's inflows took place on Tuesday (when it looked like Hillary Clinton would win), and Wednesday and Thursday (after Donald Trump won), suggesting that investors were gaga for ETFs regardless of the election results. 

In terms of asset classes, U.S. equity ETFs were the biggest winners by far, garnering $20.1 billion worth of inflows. The S&P 500 rallied about 1% following the election, while the Dow Jones industrial average hit a record high.

Meanwhile, U.S. fixed-income ETFs had inflows of $4.4 billion, even as Treasurys were crushed in the two days after the election. The 10-year Treasury yield reached as high as 2.15%, its steepest level since January (bond prices and yields generally move inversely).

International equity and international fixed-income ETFs saw much more modest inflows—$138 million and $305 million, respectively—while commodity ETFs had outflows of $432 million.

Industrials & Health Care ETFs In Favor
Taking a look at individual funds, the SPDR S&P 500 ETF (SPY) was the biggest winner, with creations totaling $10.5 billion.

A number of sector ETFs saw significant interest as well, on speculation that a Trump administration would lead to reduced regulations. The Financial Select Sector SPDR Fund (XLF), which also benefited from a steeper yield curve, had inflows of $2.6 billion; the Health Care Select Sector SPDR Fund (XLV) had inflows of $1.7 billion; the Industrials Select Sector SPDR Fund (XLI) had inflows of $829 million; and the iShares Nasdaq Biotechnology ETF (IBB) had inflows of $769 million.

Meanwhile, a pair of junk bond ETFs made the top inflows list despite the surge in interest rates. The iShares iBoxx $ High Yield Corporate Bond ETF (HYG) and the SPDR Barclays High Yield Bond ETF (JNK) had inflows of $1.5 billion and $800 million, respectively.

Tech, EM, Utilities & Gold Out Of Favor
On the flip side, the biggest individual ETF loser of the week was the tech-heavy PowerShares QQQ Trust (QQQ), with redemptions of $1.8 billion. Some analysts suggested that Trump's policies could be detrimental to tech companies. 

Following suit was the iShares MSCI Emerging Markets ETF (EEM), with outflows topping more than $1 billion. Trump has promised to take a hard line on the United States' trade deals, which may affect emerging markets. 

Another flows loser this week was the Utilities Select Sector SPDR Fund (XLU), with outflows of $383 million; the spike in interest rates this week hurt the high-yielding utilities sector, which fell by 6% in the days after the election.

Meanwhile, the interest rate move also had a negative effect on the SPDR Gold Trust (GLD), which had outflows of $330 million in the period. Gold prices plunged to as low as $1,219 on Friday, their lowest level since June. 

For a full list of this 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

Top 10 Volume Surprises, Funds >$50 mm AUM

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.