Investors pile into EMD trackers
Emerging market debt ETFs saw record net inflows of $5.8bn over the third quarter globally, according to Blackrock. Total inflows this year have already beaten the previous full-year record set in 2012.
Emerging market debt ETFs saw record net inflows of $5.8bn over the third quarter globally, according to Blackrock. Total inflows this year have already beaten the previous full-year record set in 2012.
In the first half of 2016, investors in Europe have poured in $5.7bn (€5.1bn) into smart beta funds as market capitalisation index trackers saw outflows over the period, according to Morningstar data analysed by ETF provider WisdomTree Europe. Brexit could be one of the reasons for the switch.
Flows into United States equities exchange-trade products reached their highest level since December 2014 in July, according to data from BlackRock.
Passive investing has made a rapid rise over the past couple of years. When it comes to sustainable investing, however, index-based funds are still relative newcomers.
Bond ETFs remained popular with investors globally last month while outflows from equity trackers continued apace. According to data from Blackrock, European investors poured $2.6bn (€2.3bn) into fixed income ETFs in May.
New research by Morningstar challenges assumptions about the threat ETFs pose to the stability of high yield markets, especially during times of crisis.
European equities have been the best-selling asset class with European investors in recent history. However, this hasn’t benefited those funds that invest exclusively in equities listed in one particular European country.
European investors have been pouring unprecedented amounts of money into fixed income ETFs this year, while they are taking money out of equity ETFs, according to data from Blackrock.
The cheaper a fund is, the better the chance it outperforms its peer group, a study by Morningstar has shown.
European investors did themselves a disservice in February. They sold out of pretty much all asset classes when markets hit (in some cases) multi-year lows before recovering their losses in the past couple of weeks. The outflows mainly hit active funds, as ETFs saw modest net inflows.
Smart beta ETFs charge investors up to three times as much as plain-vanilla index trackers, according to newly published research by Morningstar. This disparity is not justified by the additional cost of constructing and calculating a ‘smart’ index, and is a severe drag on performance. Therefore, investors should think carefully before investing in a smart…
European equity ETFs saw record inflows in 2015, according to Morningstar data. However, it has now turned out ETF investors only joined the party once the happy hour was over. Investors who put their money into a MSCI Europe ETF a year ago are now having to cope with a loss of 12.4%.