ETFGI Reports ETFs And ETPs Listed In The US Gather Net Inflows Of US$6.40 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 the US gathered net inflows of US$6.40 Bn during October. Following a turbulent month for financial markets, total assets invested in the US ETF and ETP industry fell 6.24% during October, from US$3.73 Tn at the end of September, to US$3.50 Tn, according to ETFGI’s October 2018 US 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 the US decline 6.24% to $3.50 Tn in October.
• Net new assets gathered by ETFs/ETPs listed in the US were $6.40 Bn in October.
• Equity-based products saw the largest inflows, while fixed income-based products saw the greatest outflows during October.  

“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 US ETF/ETP industry had 2,012 ETFs/ETPs, assets of $3.50 Tn, from 145 providers listed on 3 exchanges. Following net inflows of $6.40 Bn and market moves during the month, assets invested in ETFs/ETPs listed in the US decreased by 6.24%, from $3.73 Tn at the end of September 2018, to $3.50 Tn.
 
 
Growth in US ETF and ETP assets as of the end of October 2018



Equity ETFs/ETPs listed in the US attracted net inflows of $6.05 Bn in October, growing net inflows for 2018 to $144 Bn, less than the $263 Bn in net inflows at this point last year. Fixed Income ETFs and ETPs listed in the US saw net outflows of $4.84 Bn in October, bringing net inflows for 2018 to $51 Bn, considerably less than the $103 Bn in net inflows at this point last year.  

October saw the average daily trading volume (ADV) rise to $150 Bn, the highest for US listed ETFs/ETPs since ETFGI’s records began in 2011. October’s ADV figure is 25% higher from the previous record of $120 Bn seen in February 2018.

Substantial inflows during October can be attributed to the top 20 ETFs by net new assets, which collectively gathered $25.6 Bn.  The iShares Core S&P 500 ETF (IVV US) gathered $4.64 Bn, the largest net inflow in October. 

Top 20 ETFs by net new assets October 2018: US

 
Similarly, the top 10 ETPs by net new assets collectively gathered $1.18 Bn by the end of October 2018. 

Top 10 ETPs by net new assets October 2018: US

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