ETFGI Reports ETFs Industry In Canada Gathered Net Inflows Of US$2.12 Billion During May

ETFGI, a leading independent research and consultancy firm covering trends in the global ETFs ecosystem, reported today that the ETFs industry in Canada gathered net inflows of US$2.12 billion during May, bringing year-to-date net inflows to US$12.80 billion. Year-to-date, assets have increased 8.5%, going from US$250 Bn at the end of 2022, to US$271 Bn, according to ETFGI's May 2023 Canadian ETFs and ETPs industry landscape insights report, the monthly report which is part of an annual paid-for research subscription service. (All dollar values in USD unless otherwise noted.)

Highlights

• ETFs industry in Canada gathered net inflows of $2.12 Bn in May.
• YTD net inflows of $12.80 Bn in 2023 are the fourth highest on record, after YTD net inflows of $22.22 Bn in 2021, YTD net inflows of $15.76 Bn in 2022, and YTD net inflows of $14.42 Bn in 2020.
• 11th month of consecutive net inflows.
• Assets of $271 Bn invested in ETFs industry in Canada at the end of May.
• Assets have increased 8.5 % YTD in 2023, going from $250 Bn at the end of 2022, to $271 Bn.

“The S&P 500 increased by 0.43% in May and is up by 9.65% YTD in 2023. Developed markets excluding the US declined by 4.26% in May but are up 4.41% in 2023. Belgium (down 11.16%) and Portugal (down 10.80%) saw the largest decreases amongst the developed markets in May. Emerging markets declined by 2.30% during May and are down 0.70% YTD in 2023. South Africa (down 14.46%) and Czech Republic (down 13.52%) saw the largest decreases amongst emerging markets in May.” According to Deborah Fuhr, managing partner, founder, and owner of ETFGI.

Growth in Canadian ETF assets as of the end of May 2023

At the end of May 2023, the ETFs industry in Canada had 1,074 ETFs, with 1,352 listings, assets of $271 Bn, from 41 providers listed on 2 exchanges.

During May, ETFs gathered net inflows of $2.12 Bn. Equity ETFs reported net inflows of $298 Mn during May, bringing YTD net inflows to $1.92 Bn, much lower than the $8.99 Bn in net inflows YTD in 2022. Fixed income ETFs gathered net inflows of $427 Mn during May, bringing YTD net inflows to $2.97 Bn, higher than the $1.19 Bn in net inflows YTD in May 2022.  Active ETFs attracted net inflows of $1.43 Bn during  the month, gathering net inflows YTD of $7.85 Bn, higher than the $4.79 Bn in net inflows YTD in 2022. 

Substantial inflows can be attributed to the top 20 ETFs by net new assets, which collectively gathered $2.32 Bn during May. iShares Core MSCI Emerging Markets IMI Index ETF ETF (XEC CN) gathered $284.61 Mn, the largest individual net inflow.

Top 20 ETFs by net new assets May 2023: Canada

Investors have tended to invest in Active ETFs during May.