US large cap equity ETFs saw €1.6bn in net inflows in January, trumping inflows into all other asset classes by a large margin. This marked the third consecutive month of net inflows for the asset class. And this trend is set to continue as US equity indices resumed their rally in February. The S&P 500 is up 3.13% this month.
European equities: recovery continues
In the slipstream of US equities, European equity ETFs also saw strong inflows of €794m according to Morningstar. Value ETFs saw a remarkable surge in interest: net inflows into European equity value trackers tripled to an all-time record of €333m. Growth ETFs, by contrast, saw minor net outflows.
Source: Morningstar
The divergence in flows between developed and emerging market equities that set in after Donald Trump’s election continued unabated in January: global emerging market equity ETFs saw a third consecutive month of net outflows. Total net redemptions since November amount to €1.76bn.
