US Fixed Income Sees Inflows
It looks like investors may be concerned with shortening their duration.
The week ended Thursday, June 13, wrapped up with the SPDR S&P 500 ETF Trust (SPY) pulling in $3.8 billion, more than any other ETF, but the activity in bond ETFs was far more interesting. Fully half of the top 10 ETFs for inflows cover fixed income, led by the No. 2 gainer iShares Short Treasury Bond ETF (SHV) which gained just over $3 billion.
And all different types of fixed income were represented in the top 10: investment-grade and high yield corporate debt, short-term Treasury bills and 20-year Treasury bonds. Combined, the five bond ETFs with the largest gains saw nearly $7 billion in assets.
That said, there were still four bond ETFs in the top 10 ETFs for outflows during the week, with the iShares 1-3 Year Treasury Bond ETF (SHY) losing more than any other ETF, at $2.7 billion. That might seem counterintuitive given SHV saw billions in inflows, but—along with the inflows into the SPDR Bloomberg Barclays 1-3 Month T-Bill ETF (BIL)—it suggests investors are moving from short-term debt into the ultra-short-term space to further shorten their durations.
Big Picture
U.S.-listed ETFs pulled in almost $18 billion during the week, with U.S. equity ETFs gaining $10.2 billion as a whole, followed by U.S. fixed income ETFs, which gained nearly $7 billion. International fixed income and international equity ETFs were even further behind in the No. 3 and No. 4 spots, with gains of $400 million and $273 million, respectively.
Year to date, the industry has pulled in $93.4 billion, with nearly $58 billion of that flowing into the U.S. fixed income category. Around this time last year, U.S.-listed ETFs had gained roughly $135 billion.
For a full list of this week’s top inflows and outflows, see the tables below:
Top 10 Creations (All ETFs)
| Ticker | Name | Net Flows ($,mm) | AUM ($, mm) | AUM % Change |
| SPY | SPDR S&P 500 ETF Trust | 3,795.04 | 264,644.22 | 1.43% |
| SHV | iShares Short Treasury Bond ETF | 3,081.91 | 24,330.23 | 12.67% |
| LQD | iShares iBoxx USD Investment Grade Corporate Bond ETF | 1,391.34 | 33,343.68 | 4.17% |
| QQQ | Invesco QQQ Trust | 988.63 | 71,171.06 | 1.39% |
| JNK | SPDR Bloomberg Barclays High Yield Bond ETF | 988.34 | 8,917.66 | 11.08% |
| XLB | Materials Select Sector SPDR Fund | 728.75 | 4,166.37 | 17.49% |
| BIL | SPDR Bloomberg Barclays 1-3 Month T-Bill ETF | 699.83 | 9,941.43 | 7.04% |
| TLT | iShares 20+ Year Treasury Bond ETF | 626.03 | 14,062.94 | 4.45% |
| XLV | Health Care Select Sector SPDR Fund | 506.28 | 18,540.32 | 2.73% |
| SCHB | Schwab U.S. Broad Market ETF | 397.02 | 15,055.81 | 2.64% |
Top 10 Redemptions (All ETFs)
| Ticker | Name | Net Flows ($,mm) | AUM ($, mm) | AUM % Change |
| SHY | iShares 1-3 Year Treasury Bond ETF | -2,746.29 | 18,100.29 | -15.17% |
| IJH | iShares Core S&P Mid-Cap ETF | -198.21 | 48,870.16 | -0.41% |
| MUB | iShares National Muni Bond ETF | -169.14 | 12,699.22 | -1.33% |
| XLI | Industrial Select Sector SPDR Fund | -167.96 | 10,021.09 | -1.68% |
| SH | ProShares Short S&P500 | -132.91 | 1,865.42 | -7.12% |
| IEFA | iShares Core MSCI EAFE ETF | -123.18 | 64,782.89 | -0.19% |
| BSV | Vanguard Short-Term Bond ETF | -112.22 | 22,421.76 | -0.50% |
| KIE | SPDR S&P Insurance ETF | -106.32 | 885.42 | -12.01% |
| VPU | Vanguard Utilities ETF | -104.21 | 3,768.13 | -2.77% |
| FLOT | iShares Floating Rate Bond ETF | -101.68 | 10,010.00 | -1.02% |
ETF Weekly Flows By Asset Class
| Net Flows ($, mm) | AUM ($, mm) | % of AUM | |
| U.S. Equity | 10,193.73 | 2,194,269.52 | 0.46% |
| International Equity | 273.45 | 816,371.51 | 0.03% |
| U.S. Fixed Income | 6,978.42 | 671,852.31 | 1.04% |
| International Fixed Income | 399.47 | 75,151.04 | 0.53% |
| Commodities | 248.17 | 63,114.34 | 0.39% |
| Currency | 21.76 | 1,553.96 | 1.40% |
| Leveraged | 11.97 | 36,562.63 | 0.03% |
| Inverse | -182.54 | 11,895.24 | -1.53% |
| Asset Allocation | -4.26 | 9,420.75 | -0.05% |
| Alternatives | 23.71 | 4,582.68 | 0.52% |
| Total: | 17,963.86 | 3,884,773.98 | 0.46% |
Asset Classes (Year-to-Date)
| Net Flows ($, mm) | AUM ($, mm) | % of AUM | |
| U.S. Equity | 23,930.52 | 2,194,269.52 | 1.09% |
| International Equity | 6,295.59 | 816,371.51 | 0.77% |
| U.S. Fixed Income | 57,699.73 | 671,852.31 | 8.59% |
| International Fixed Income | 6,602.36 | 75,151.04 | 8.79% |
| Commodities | -1,853.13 | 63,114.34 | -2.94% |
| Currency | -236.74 | 1,553.96 | -15.23% |
| Leveraged | -1,965.77 | 36,562.63 | -5.38% |
| Inverse | 2,658.94 | 11,895.24 | 22.35% |
| Asset Allocation | -372.90 | 9,420.75 | -3.96% |
| Alternatives | 612.57 | 4,582.68 | 13.37% |
| Total: | 93,371.16 | 3,884,773.98 | 2.40% |
Top 10 Volume Surprises, Funds >$50 mm AUM
| Ticker | Name | Average Volume (30 Day) | 1 Week Average Volume | % of Average |
| CN | Xtrackers MSCI All China Equity ETF | 192,155 | 1,310,505 | 682.01% |
| CEMB | iShares J.P. Morgan EM Corporate Bond ETF | 24,240 | 103,397 | 426.56% |
| RVNU | Xtrackers Municipal Infrastructure Revenue Bond ETF | 12,695 | 54,611 | 430.19% |
435 | 1,552 | 356.98% | ||
| JETS | US Global Jets ETF | 28,518 | 85,486 | 299.76% |
| HTUS | Hull Tactical U.S. ETF | 7,910 | 22,309 | 282.02% |
| XSLV | Invesco S&P SmallCap Low Volatility ETF | 277,286 | 708,682 | 255.58% |
| JMST | JPMorgan Ultra-Short Municipal Income ETF | 24,158 | 58,328 | 241.45% |
| XMLV | Invesco S&P MidCap Low Volatility ETF | 384,843 | 880,427 | 228.78% |
| TILT | FlexShares Morningstar US Market Factor Tilt Index Fund | 26,866 | 60,985 | 227.00% |
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.
