ETP inflows tear up record book

Jun 6th, 2013 | By | Category: ETF and Index News

For providers of exchange-traded products (ETPs), 2013 is fast becoming a vintage year. Year-to-date net inflows reached a record $107 billion through the end of May 2013, a whopping 31% higher than the $82 billion seen during the same period last year, according to data from ETFGI, a London-based consultancy.

ETP inflows tear up record book

Global ETP assets have reached an all-time high of $2.14 tn.

When added to the existing ETP pile, total assets under management (AUM) in the industry now stand at a new all-time high of $2.14 trillion.

There are now some 4,849 ETPs (as mix of ETFs, ETCs and ETNs), with 9,875 listings, from 211 providers, listed across 56 exchanges around the world.

In May, ETPs received $24.3 billion in net inflows. This was made of up of $25 billion in net inflows for equity products, $3.1 billion for fixed income products, and $6.7 billion in net outflows for commodity products, led most notably by gold, which lost around £6 billion.

Within the equity space, products with US/North American exposures gathered $16 billion in net inflows, followed by developed Asia Pacific with $8.9 billion, and global equity with $2.1 billion. Equity ETPs offering exposure to emerging markets experienced net outflows of $4.3 billion.

Despite the strong flows into equity products, fixed income inflows held up, gathering $3.1 billion during the month. This was composed of $2.2 billion of net inflows into corporate bond products, followed by government bonds with $1.6 billion, while inflation-linked products experienced net outflows of $839 million.

Spoiling the party slightly were commodities, which experienced net outflows of $6.7 billion. ETPs linked to precious metals, particularly gold, accounted for the majority ($6.3 billion) of these outflows.

In terms of individual ETP providers, the big winners in May were Vanguard, Daiwa and SPDR, which gathered net new assets of $4.5 billion, $4.4 billion and $4.4 billion respectively, followed by WisdomTree with $3.1 billion. Daiwa and WisdomTree benefited from their Japan products, which did well on the back of demand for Japanese equities.

Globally, iShares remains the largest ETP provider with assets of $820 billion, equivalent to a market share of 38.4%. However, the BlackRock subsidiary only ranked fifth in terms of net inflows in May, with $2.4 billion.

SSgA’s SPDR is the second largest ETP provider with $365 billion and 17.1% market share, followed by Vanguard with $290 billion and 13.6% market share. PowerShares takes the fourth spot with $74 billion and 3.5% market share, followed by Deutsche Bank’s db X-trackers platform with $69 billion.

These top five ETP providers account for 76% of global ETF and ETP assets.

In terms of index providers, S&P Dow Jones has the largest amount of ETP assets tracking its benchmarks with $573 billion, reflecting 26.9% market share; MSCI is second with $340 billion and 16.0% market share, followed by Barclays, known for its fixed income indices, with $194 billion and 9.1% market share.

Tags: , , , , , , , , , , , , ,

Leave a Comment



More in ETF and Index News
Solactive launches global ethical low volatility index
MSCI launches new ESG indices for emerging markets and ACWI

MSCI, the world’s second largest provider of indices to exchange-traded funds (ETFs), has launched two new environmental, social and governance (ESG) indices –...

BlackRock and Euroclear to pilot cross-border settlement of ETFs
BlackRock and Euroclear to pilot cross-border settlement of ETFs

BlackRock, the firm behind iShares, the world’s largest provider of exchange-traded funds (ETFs), and Euroclear, a leading provider of post-trade services, have unveiled...

Close