Assets : European ETPs AUM increased by €28bn on MoM basis and ended the month at €579bn…
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Deutsche Bank : European Monthly ETF Market Review for February 2017
Data in this report is as of 28 February 2017.
Flows: European domiciled ETPs registered strong inflows of +€10.6bn. Equity ETFs were again dominant where there were inflows of +€6.3bn followed by Fixed Income ETFs and Commodity ETPs with inflows of + €3.2bn and +€1.1bn respectively.
New Product Launches – 4 new products
European ETP market witnessed launches in: Fixed Income (3) and Multi-asset (1).
Investment Themes for the Month
European equities drew +€0.9bn of inflows primarily into broad composites. EM also saw +€0.8bn of inflows. Country wise, Japan (+ €0.9bn), Canada (+€0.2bn) and US (+€0.2bn) benefited.
The Smart Beta segment saw further increase (+€1.6bn). Value factor (+ €703mn), Dividend (+€261mn) and Fundamental (+€228mn) strategies were the sub-segments that gained significant inflows. In other segments, Small Cap (+€173mn) and Energy ETFs (+€134mn) also had notable gains.
Currency hedged ETFs saw increased activity where there were almost + €1bn inflows into mainly broad global equity indices.
Sovereigns and Corporates commanded inflows in the Fixed Income segment (+€3.2bn).
Gold based ETPs (+€0.8bn) contributed most to overall commodity flows (+€1.1bn).
US listed ETFs with exposure to Europe have had 3 months without significant outflows, following significant monthly outflows in 2016.
Turnover: MoM turnover remains flat compared to previous month
The total turnover activity into European ETPs was flat (€65.6bn) compared to the last month’s total (€65.8bn)