Global markets struggle in October, but YTD ETF inflows surge toward $1T mark

seekingalpha
2024-11-06

Ratana21

Global stocks stumbled in October for the first time since April, with non-US markets dragging the overall index down. The dip marked the end of a long rally that had fueled optimism across equity markets. Yet, despite the monthly losses, investors remained undeterred and piled into exchange-traded funds.

In October, ETFs attracted a staggering $123B, the second-highest monthly total on record. Year-to-date, ETF flows topped $830B, positioning the industry to be on track to surpass the trillion-dollar mark by year’s end.

U.S. equity ETFs led the charge, pulling in $61B, with sectors like cyclicals seeing a notable boost of $3.3B. But the real story was the resurgence of non-US markets. International equity ETFs absorbed $20B, with China alone receiving a record $11B in inflows, indicating a rebound that surprised many after months of uncertainty surrounding the region.

Bond ETFs also performed strongly, pulling in $31B in October. Active bond ETFs set a new record with $15B, while credit-related funds, particularly loan ETFs, added $6B. Loan ETFs alone brought in $3.3B, the second-best month on record.

The steady stream of money flowing into ETFs suggests that investors were not worried about October’s downturn. Highlighted below are Wall Street’s top 20 largest ETFs from an assets under management vantage point:

Top 20 Largest EFTs by AUM

No. 20: Vanguard Total International Stock ETF (VXUS)

No. 19: Vanguard Information Technology ETF (VGT)

No. 18: SPDR Gold Shares (GLD)

No. 17: iShares Core MSCI Emerging Markets ETF (IEMG)

No. 16: Vanguard FTSE Emerging Markets ETF (VWO)

No. 15: iShares Core S&P Small-Cap ETF (IJR)

No. 14: Vanguard Dividend Appreciation ETF (VIG)

No. 13: iShares Core S&P Mid-Cap ETF (IJH)

No. 12: iShares Russell 1000 Growth ETF (IWF)

No. 11: Vanguard Total Bond Market ETF (BND)

No. 10: iShares Core U.S. Aggregate Bond ETF (AGG)

No. 9: iShares Core MSCI EAFE ETF (IEFA)

No. 8: Vanguard Value ETF (VTV)

No. 7: Vanguard FTSE Developed Markets ETF (VEA)

No. 6: Vanguard Growth ETF (VUG)

No. 5: Invesco QQQ Trust Series I (QQQ)

No. 4: Vanguard Total Stock Market ETF (NYSEARCA:VTI)

No. 3: iShares Core S&P 500 ETF (NYSEARCA:IVV)

No. 2: Vanguard S&P 500 ETF (NYSEARCA:VOO)

No. 1: SPDR S&P 500 ETF Trust (NYSEARCA:SPY)

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