New high for global ETP industry
Global exchange traded products (ETPs) have received $30.5 billion in funds under management (FUM) flows in September, after US and Japanese equities increase in demand, according to Blackrock.
The global fund manager said half of those inflows came from investors that anticipated central bank movements from the Fed (in the US) and the Bank of Japan (BoJ).
Such flows pushed global ETPs year-on-year to $243.8 billion, up from 2015's record setting high, Blackrock said.
US equities generated $9.7 billion, amid improving economic data as the Fed opted to hold rates steady, while Japanese equities brought in $9.3 billion, entirely from local providers, as the BoJ pledged additional extraordinary stimulus to combat weak economic growth.
Meanwhile, broad emerging markets (EM) also gained momentum and collected $2.7 billion in funds, which marked the fourth consecutive month of positive inflows. This took the EM ETP sector to $25.7 billion year-to-date.
Fixed income also added $9.5 million in September, while EM debt rose $1.8 billion, which drove year-to-date flows to $14.5 billion, which surpassed the 2012 full-year flow record of $8.2 billion.
Investment grade corporate bonds also drew in $3.4 billion and year-to-date flows of $32.6 billion, which both surpassed last year's records.
Recommended for you
Amid a growing appetite for alternatives, investment executives have shared questions advisers should consider when selecting a private markets product compared to their listed counterparts.
Chief executive Maria Lykouras is set to exit JBWere as the bank confirms it is “evolving” its operations for high-net-worth clients.
Bennelong Funds Management chief executive John Burke has told Money Management that the firm is seeking to invest in boutiques in two specific asset classes as it identifies gaps in its product range.
Responsible investment performance concerns have lessened as the market hits $1.6 trillion in AUM, according to RIAA’s annual report, but greenwashing fears among asset managers are on the rise.
