European ETF Market: 9 782 M€.…
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Fannie Wurtz, Managing Director of Amundi ETF, Indexing & Smart Beta
FOCUS ON Equities
Inflows : Global equities took the lead in February, gathering +596 M€ on hedged exposures and +335 M€ on unhedged exposures. Emerging markets follow with +628 M€ and Europe completes the podium (+430 M€). On a single country level, Japan was the winner (+701 M€ unhedged, +255 M€ hedged), preceding Canada (+180 M€) and India (+133 M€). On sector and thematics, positive flows were focused on Infrastructure (+234 M€) and Real Estate (+170 M€). Finally in the Smart Beta universe, Value is far ahead with +944 M€, and Size is a distant second (+150 M€ for Small cap, +136 M€ for Mid cap).
Outflows : Outflows were still limited, with no regional exposure in the red. On single countries, Italy lost -73 M€ and the Netherlands -41 M€. On sectors, Low Carbon was set back -79 M€. Minimum Volatility was the least popular Smart Beta factor as it was hit by -235 M€ of outflows.
FOCUS ON Fixed Income
Inflows : Emerging govies continue to dominate Fixed Income inflows, totalizing +1 268 M€ over the month. US Inflation-linked bonds also saw significant inflows (+852 M€). In the corporate debt space, Floating Rate Notes are still favored by investors, gathering +528 M€, as US Corporate and High Yield also attracted new money (respectively +409 M€ and +396 M€). On other fixed income, short positions, mainly on German govies, added +361 M€.
Outflows : Redemptions on Peripheral Eurozone govies continued their negative run by losing -256 M€. On the credit side, Eurozone corporate bonds saw outflows of -1 025 M€, of which -428 M€ on ex Financials exposure. Finally we can note some smaller outflows on US Money Market (-37 M€) and US Aggregate (-20 M€).