Weekly ETF Inflows Sizzle With Stock Market

U.S.-listed ETFs saw almost $19 billion in inflows during the latest week.

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Reviewed by: Sumit Roy
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Edited by: Sumit Roy

A sizzling start to the year for the stock market went hand in hand with a sizzling start to the year for ETF inflows. The S&P 500 gained 4% in the first 10 trading sessions of 2018, its best start to a year since 2003, according to CNBC.

At the same time, U.S.-listed ETFs took in an impressive $18.7 billion during the week ending Thursday, Jan. 11, according to the latest data from FactSet. Year-to-date inflows now stand at $17.7 billion.

Unsurprisingly, most of this week's inflows went into U.S. equity ETFs―$9.2 billion―amid growing euphoria about the state of the U.S. economy and corporate profits.

International equity ETFs weren't far behind, with $7 billion worth of inflows of their own. U.S. fixed-income ETFs and international fixed-income ETFs followed suit, with inflows of $1 billion and $1.4 billion, respectively.

Bonds were hit this week, as the U.S. two-year Treasury yield topped the 2% mark for the first time since the financial crisis on the back of expectations that the Federal Reserve will have to hike rates more aggressively this year as inflation picks up. The 10-year Treasury yield briefly touched 2.6%, close to last year's high.

Low-Cost Broad ETFs Still Favored

Just like last year, ETF investors continued to favor low-cost broad market ETFs. The SPDR S&P 500 ETF Trust (SPY) and the iShares Core S&P 500 ETF (IVV) took in a combined $5 billion this week.

The Industrial Select Sector SPDR Fund (XLI) was another favorite, garnering inflows of $1.2 billion.

In terms of international ETFs, the iShares Core MSCI Emerging Markets ETF (IEMG) and the iShares MSCI Emerging Markets ETF (EEM) had inflows of $1.1 billion and $837 million, respectively.

On the outflows side, the iShares Russell 1000 Value ETF (IWD), the Financial Select Sector SPDR Fund (XLF), the SPDR Gold Trust (GLD), the VanEck Vectors Gold Miners ETF (GDX) and the VelocityShares 3X Long Natural Gas ETN (UGAZ) were notable losers.

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

Top 10 Creations (All ETFs)

TickerNameNet Flows ($,mm)AUM ($, mm)AUM % Change
SPYSPDR S&P 500 ETF Trust2,720.61279,066.330.98%
IVViShares Core S&P 500 ETF2,364.26148,956.071.61%
XLIIndustrial Select Sector SPDR Fund1,223.0415,076.068.83%
IEMGiShares Core MSCI Emerging Markets ETF1,125.6345,512.842.54%
QQQPowerShares QQQ Trust989.1560,546.651.66%
EEMiShares MSCI Emerging Markets ETF836.7941,597.462.05%
EMBiShares JP Morgan USD Emerging Markets Bond ETF719.0213,460.495.64%
IEFAiShares Core MSCI EAFE ETF677.3644,185.201.56%
VOOVanguard S&P 500 ETF635.4786,955.450.74%
VEUVanguard FTSE All-World ex-US ETF487.8924,313.002.05%

Top 10 Redemptions (All ETFs)

TickerNameNet Flows ($,mm)AUM ($, mm)AUM % Change
IWDiShares Russell 1000 Value ETF-1,252.8840,778.47-2.98%
XLFFinancial Select Sector SPDR Fund-1,036.8533,227.85-3.03%
IWMiShares Russell 2000 ETF-558.2041,808.70-1.32%
XLPConsumer Staples Select Sector SPDR Fund-423.118,331.18-4.83%
GLDSPDR Gold Trust-299.5935,169.92-0.84%
HYGiShares iBoxx $ High Yield Corporate Bond ETF-218.3217,753.34-1.21%
GDXVanEck Vectors Gold Miners ETF-218.197,317.68-2.90%
UGAZVelocityShares 3X Long Natural Gas ETN-163.94599.38-21.48%
IWFiShares Russell 1000 Growth ETF-153.2241,452.70-0.37%
CIUiShares Intermediate Credit Bond ETF-141.607,503.66-1.85%

ETF Weekly Flows By Asset Class

 Net Flows ($, mm)AUM ($, mm)% of AUM
U.S. Equity9,206.931,971,629.440.47%
International Equity6,992.44835,638.740.84%
U.S. Fixed Income1,042.41525,768.020.20%
International Fixed Income1,361.6360,839.562.24%
Commodities-235.7567,726.73-0.35%
Currency-0.631,244.60-0.05%
Leveraged-95.7435,148.68-0.27%
Inverse242.0815,070.561.61%
Asset Allocation50.899,079.840.56%
Alternatives113.964,234.512.69%
Total:18,678.223,526,380.690.53%

Top 10 Volume Surprises, Funds >$50 mm AUM

TickerNameAverage Volume
(30 Day)
1 Week Average
Volume
% of Average
HOLDAdvisorShares Sage Core Reserves ETF8,74256,531646.68%
HYGHiShares Interest Rate Hedged High Yield Bond ETF42,871256,170597.53%
HYHGProShares High Yield-Interest Rate Hedged ETF39,509168,907427.51%
IBDDiShares iBonds Mar 2023 Term Corporate ETF13,62751,757379.81%
USMCPrincipal U.S. Mega-Cap Multi-Factor Index ETF3,46322,781657.87%
BSJIGuggenheim BulletShares 2018 High Yield Corporate Bond ETF411,0301,701,081413.86%
MOTIVanEck Vectors Morningstar International Moat ETF23,84183,402349.83%
FEUSPDR STOXX Europe 50 ETF78,523214,887273.66%
DMRSDeltaShares S&P 600 Managed Risk ETF6621,620244.64%
DBEUXtrackers MSCI Europe Hedged Equity ETF756,2722,259,186298.73%

 

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.

 

Sumit Roy is the senior ETF analyst for etf.com, where he's worked for 12 years. Before joining the company, Roy was the managing editor and commodities analyst for Hard Assets Investor. He lives in the San Francisco Bay Area, where he enjoys climbing the city’s steep hills, playing pickleball and snowboarding.