.jpg)
According to ETFGI’s January 2018 Smart Beta ETF and ETP industry insights report, a monthly report included in an annual paid-for research subscription service, assets invested in Smart Beta ETFs and ETPs listed globally reached a record high of US$696 billion at the end of January 2018, shattering the previous record of US$658 billion set at the end of 2017. (All dollar values in USD unless otherwise noted.)
Highlights
- Assets invested in Smart Beta ETFs/ETPs listed globally increased by a record $37.8 Bn during January to reach a new high of $696 Bn
- In January 2018, Smart Beta ETFs and ETPs listed globally saw net inflows of $9.43 Bn
- Multi Factor smart beta products gathered the largest net inflows with $4.55 Bn, followed by Value Factor with $1.34 Bn
During January 2018 assets invested in Smart Beta ETFs/ETPs increased by $37.8 Bn, or 5.74%. According to ETFGI’s data this growth represents the greatest absolute monthly increase in assets on record. The previous record was set in March 2016, when assets grew by $31.9 Bn.
Comparison of assets in market cap, smart beta, other and active equity products
January 2018 also marked the 24th consecutive month of net inflows into Smart Beta ETFs and ETPs, with $9.43 Bn gathered during the month. The majority of these flows can be attributed to the top 20 Smart Beta ETFs/ETPs by net new assets, which collectively gathered $7.23 Bn in January 2018. The iShares Edge MSCI USA Momentum Factor ETF (MTUM US) on its own accounted for net inflows of $1.35 Bn.
Top 20 Smart Beta ETFs/ETPs by net new assets: Global
Multi Factor smart beta products gathered the largest net inflows with $4.55 Bn, followed by Value Factor products with $1.34 Bn and Performance/momentum factor products with $1.00 Bn. Investors have tended to invest in lower cost and momentum factor Smart Beta products in January.
