ETFGI Reports ETFs And ETPs Listed In Europe Gather Net Inflows Of US$1.39 Bn During October 2018

ETFGI, a leading independent research and consultancy firm covering trends in the global ETF/ETP ecosystem, reported today that ETFs and ETPs listed in Europe gathered net inflows of US$1.39 Bn during October. Following a turbulent month for financial markets, total assets invested in the European ETF and ETP industry fell 5.88% during October, from US$832 Bn at the end of September, to US$783 Bn, according to ETFGI’s October 2018 European ETF and ETP industry landscape insights report, an annual paid-for research subscription service.  (All dollar values in USD unless otherwise noted.) 

Highlights

• Total Assets in ETFs and ETPs listed in Europe decline 5.88% to $783 Bn in October.
• Net new assets gathered by ETFs/ETPs listed in Europe were $1.39 Bn in October.
• 48^th consecutive months of net inflows into ETFs/ETPs listed in Europe. 

 
“Few markets managed to avoid the October sell off, as investors grew jittery at the prospects of further rate hikes from the US treasury and any hope of resolutions to trade disputes appeared to be diminishing, be it in Europe or the US. Developed and developing markets saw similar declines during the month. Aside from the US, where strong year-to-date performance cushioned the fall, October pushed many indices deeper into negative territory for the year. The S&P 500 fell 6.84% over the month, retaining a 3.1% gain year-to-date, while European markets fell 7.82%, bringing year-to-date decline to 9.56%. EM markets down 7.60% and Frontier markets down 3.36%, bringing year to date declines to 15.07% and 10.68%, respectively.” according to Deborah Fuhr, managing partner and a founder of ETFGI.

At the end of October 2018, the European ETF/ETP industry had 2,323 ETFs/ETPs, with 8,041 listings, assets of US$783 Bn, from 68 providers on 28 exchanges. Following net inflows of $1.39 Bn and market moves during the month, assets invested in ETFs/ETPs listed in Europe decreased by 5.88%, from $832 Bn at the end of September 2018, to $783 Bn.

Growth in European ETF and ETP assets as of the end of October 2018
 


Fixed Income ETFs and ETPs listed in Europe saw net inflows of $946 Mn in October, bringing net inflows for 2018 to $12.24 Bn, considerably less than the $24.13 Bn in net inflows at this point last year. Equity ETFs/ETPs listed in Europe saw net outflows of $179 Mn in October, bringing net inflows for 2018 to $33.99 Bn, less than the $59.28 Bn in net inflows at this point last year.  

October marked the 48^th consecutive month of net inflows into ETFs/ETPs listed in Europe, Year-to-date in 2018 there have been net inflows of $47.70 Bn, less than the $94.69 Bn in net inflows at this point last year.

Substantial inflows during October can be attributed to the top 20 ETFs by net new assets, which collectively gathered $5.29 Bn.  The iShares Core MSCI World UCITS ETF (IWDA LN) gathered $519 Mn, the largest net inflow in October. 

Top 20 ETFs by net new assets October 2018: Europe

 
Similarly, the top 10 ETPs by net new assets collectively gathered $761 Mn by the end of October 2018. 

Top 10 ETPs by net new assets October 2018: Europe

 
Investors have tended to invest in core, market cap and lower cost ETFs in October.