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According to ETFGI’s January 2018 Canada ETF and ETP industry insights report, a monthly report included in an annual paid-for research subscription service, assets invested in ETFs listed in Canada reached a record high of US$122 billion at the end of January 2018, shattering the previous record of US$117 Bn set at the end of 2017. (All dollar values in USD unless otherwise noted.)
Highlights
- Assets invested in ETFs listed in Canada increased by $4.94 billion during January to reach a new record high of $122 billion
- In January 2018, ETFs listed in Canada saw net inflows of $1.68 billion
- Equity ETFs gathered the largest net inflows with US$852 Mn, followed by active ETFs with US$636 Mn
During January 2018 assets invested in ETFs listed in Canada increased by $4.94 Bn, or 4.23%, representing the greatest absolute monthly increase for almost two years. According to ETFGI’s data this monthly increase has only been surpassed once, in March 2016, when assets grew by $8.05 Bn.
This record was achieved shortly following another milestone for the ETF industry: the 25th anniversary of the listing of the first ETF in the US, the venerable SPDR S&P 500 ETF (SPY US), on 22nd January 1993. At the end of January 2018, SPY accounted for assets of $307 Bn.
January 2018 also marked the 4th consecutive month of net inflows into ETFs listed in Canada, with $1.68 Bn gathered during the month. The majority of these flows can be attributed to the top 20 ETFs by net new assets, which collectively gathered $1.42 Bn in January 2018. Horizons Medical Marijuana Life Sciences ETF (HMMJ CN) on its own accounted for net inflows of $198 Mn.
Top 20 ETFs by net new assets: Canada
Equity ETFs/ETPs gathered the largest net inflows with US$852 Mn, followed by active ETFs/ETPs with US$636 Mn, and fixed income ETFs/ETPs with US$259 Mn, while leveraged ETFs/ETPs experienced the largest net outflows with US$205 Mn.
Investors have tended to invest in core, market cap and lower cost ETFs in January 2018.
