Global ETFs and ETPs hit new record high of US$2.44 trillion at end of Feb

10 March 2014   Category: News, Global   By Asia Asset Management

Flows into ETFs and ETPs listed globally rebounded in February gathering net inflows of US$29 billion which, when combined with the positive market performance in the month, pushed assets in the global ETF/ETP industry to a new record high of $2.44 trillion, according to preliminary findings from ETFGI’s February Global ETF and ETP Industry Insights report. The global ETF/ETP industry has 5,183 ETFs/ETPs, with 10,210 listings, from 219 providers on 59 exchanges.

“Positive comments from the Fed indicating that the US economy continues to brighten, the S&P 500 ending February with a record close of 1859 and signs of a wider global recovery in equities seems to have caused investors to come out of their winter hibernation after the winter storms and put net inflows of $29 billion into ETFs/ETPs in February,” says Deborah Fuhr, managing partner at ETFGI.

Dissecting the overall net inflows we find that fixed income ETFs/ETPs gathered $16.8 billion – the largest net inflows – followed by equity ETFs/ETPs with $10.2 billion. Commodity ETFs/ETPs saw net inflows of $870 million.

The competition to gather assets remains high. The top 100 ETFs/ETPs – less than 2% of the 5,183 ETFs/ETPs – account for more than half (57%) of global assets. Only 7% of ETFs/ETPs hold more than $1 billion in assets, while 69% have less than $100 million in assets; 59% have less than $50 million in assets and nearly a third of all products have less than $10 million in assets.

In the first two months of 2014 Vanguard has gathered the largest net ETF/ETP inflows with $9.4 billion, followed by iShares with $7.1 billion, Nomura AM with $4.2 billion, First Trust with $2.5 billion and Guggenheim with $2 billion in net inflows.