The BlackRock ETP Landscape series of reports, the Industry Highlights provides commentary on the global Exchange Traded Product (ETP) industry as of October 2014.
FIXED INCOME ETP FLOWS SET NEW RECORD IN OCTOBER ON GLOBAL GROWTH CONCERNS
- Global ETP flows of $37.3bn were driven by fixed income with $19.9bn although equity flows also finished strong as stocks rebounded from a sharp correction attributed to economic growth and low inflation concerns
- The fixed income inflows represented an all-time high, including records for US and European exposures, and year-to-date asset gathering of $73.3bn has already broken the annual record of $70.0bn set in 2012
- EM equity redemptions of ($3.0bn) were impacted by tactical trading in broad funds, but opportunities remain for selective investors currently underweight EM, particularly for Asian economies with attractive valuations and less sensitivity to rates/central bank action
Sources: BlackRock, Bloomberg.