ETFGI Reports Assets Invested In ETFs And ETPs Listed In Latin America Rises To 9.5 Billion US Dollars In January 2019

ETFGI, a leading independent research and consultancy firm covering trends in the global ETF/ETP ecosystem, reported today that ETFs and ETPs listed in Latin America saw net outflows of US$US$5.61 million in January, bringing year-to-date net outflows to US$5.61 million. Assets invested in the Latin American ETF/ETP industry finished the month up 12.42%, from US$8.44 billion at the end of December, to US$9.49 billion, according to ETFGI's January 2019 Latin American ETF and ETP industry landscape insights report, an annual paid-for research subscription service. (All dollar values in USD unless otherwise noted.)

Highlights

• Assets invested in the Latin American ETF/ETP industry rise 12.42% in January.
• During January 2019, ETFs/ETPs listed in Latin America saw US$5.61 Mn in net outflows.
• Equity-based products gathered the greatest inflows, while currency-based saw the largest outflows.

“In January, equity markets rebounded from Q4 when global equities suffered steep declines amid persistent worries over trade and economic growth. Fed chair Powell revised his stance on where he believes the neutral rate of interest lies, easing fears of a dramatic and painful tightening cycle. Energy’s decline during the Q4 rout subdued inflation in developed economies taking hiking pressure off central banks while provided stimulus to consumers and businesses, giving stronger core metrics. The S&P 500 finished January up 8.01%, the best January since 1987, while the S&P Topix 150 gained 7.26% and the S&P Europe 350 gained 6.23%. Emerging and Frontier markets were up 7.77% and 4.61% respectively, hampered by dollar strength.” according to Deborah Fuhr, managing partner and founder of ETFGI.

By the end of January 2019, the Latin American ETF/ETP industry had 49 ETFs/ETPs, from 35 providers listed on 5 exchanges. Following net outflows of $5.61 Mn and market moves during the month, assets invested in the Latin American ETF/ETP industry increased by 12.42% from $8.44 Bn at the end of December, to $9.49 Bn.

Growth in Latin American ETF and ETP assets as of the end of January 2019

Equity ETFs/ETPs listed in Latin America attracted net inflows of $43.54 Mn in January, bringing net outflows for 2019 to $43.54 Mn, substantially less than the $104.79 Mn in net inflows equity products had attracted by the end of January 2018. Fixed income ETFs/ETPs listed in Latin America saw net outflows of $4.90 Mn in January, bringing net outflows for 2019 to $4.90 Mn, greater than the $3.44 Mn in net outflows fixed income products had attracted by the end of January 2018.

Substantial inflows can be attributed to the top 10 ETF's by net new assets, which collectively gathered $454.94 Mn in January, the It Now Ibovespa Fundo de Indice (BOVV11 BZ) gathered $147.19 Mn alone.

Top 20 ETFs/ETPs by net new assets January 2019: Latin America

Investors tended to invest in core, market cap products in January.