Amundi ETF : Flows into global exchange-traded funds (ETFs) almost halved in June to €35.7bn from €71.9bn in the month before.
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Overview
While the overall flows were positive, it was only the US which added €37.6bn − both Europe and Asia had outflows of €959m and €934m respectively. Year-to-date total in-flows were €381.5bn, a decrease of 35% compared to last year.
Not only did flows differ within regions but also within asset classes. In June, equities remained popular around the global with total in-flows of €38.6bn. Year-to-date, investors have added €280.4bn to this asset class. In June, there were net outflows from fixed income in Europe and Asia of €917m and €3.5bn respectively. There were total net global fixed-income inflows of €415m during the month. In the six months to June, investors added €84.7bn to this asset class.
In June, there was a total €4.1bn withdrawal from ETF commodities. In the US, €2.5bn flowed out of these strategies while €1.6bn was redeemed in Europe – from broad ETF commodities. However, year-to-date allocations to the asset class were €14.0bn.
European Flows – Monthly highlights
Equities
European UCITS equity ETF strategies gained €1.3bn in June taking the year-to-date total to €44.9bn. Flows were positive for the first fortnight in June with outflows for the last two weeks of the month.
In June, Chinese and World equities were the most popular products gaining respectively €1.8bn and 1.4bn. World indices were most popular strategy gaining €21.8bn in the six months to June. Flows to Chinese equities in June represent almost half of the year-to-date total of €4.4bn. During the month, investors withdrew €775m from the Eurozone taking the year-to-date total redemption to €4.3bn. This was the first month investors also withdrew €769m from US equities. Year-to-date total gains were €14.4bn for this strategy. In June, investors withdrew €741m from financial ETFs taking the total year-to-date withdrawals of this asset class to €2.3bn. Flows in financial were positive in January but investors have been withdrawing assets from this strategy since the Ukrainian war broke out. Investors also withdrew €748m from value ETFs in June but in-flows into this strategy were €3.9bn over the last six months.
In June, investors allocated €1.5bn to ESG equity ETFs with world indices gaining €578m. Year-to-date ESG equity ETFs gained €12.8bn with world indices gaining €5.2bn and US gaining €4.4bn. Climate strategies gained €654m in June and €3.7bn since the beginning of the year.
Fixed Income
European UCITS fixed income ETF strategies lost €917m in June – the first month this year. Year-to-date total flows were €11.1bn. Flows into this asset class were positive during the first week in June, with investors withdrawing assets from the second and third weeks. There were small positive in-flows in the last week of the month.
Reflecting the broader global trend, investors added €1.6bn to government debt in June with USA mid- and long-duration bonds gaining €2.1bn and €349m respectively. Investors did, however, redeem €697m from emerging market world government debt. Year-to-date government debt gained €7.9bn. Last month investors withdrew €2.9bn from corporate debt redeeming €1.1bn from high yield US debt and €648m from Eurozone corporate debt. In the six months to June, investors added €554m to corporate debt. Following the total in-flows of €878m into Eurozone money market strategies observed in May, the trend continued in June with €430m in-flows.
Fixed income ESG strategies gained only €95m in June taking year-to-date to €7.1bn. Corporate US and Eurozone debt were the two most popular ESG strategies for the six months to June, gaining €2bn and €1.4bn respectively.
Source: ETFWorld
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