Fixed Income ETFs maintain solid inﬂows..
Deutsche Bank : European Monthly ETF Market Review for August 2017
Data in this report is as of 31st August 2017.
European ETP Monthly Highlights (Assets, Flows & Launches):
Assets & Flows: Assets rose €2bn MoM (Total Assets €612bn), Net inﬂows +€3.6bn (YTD +€69bn)
3 New Launches: 1 Equity, 1 Fixed Income and 1 Multi Asset ETF.
Investment Themes for the Month Equities (+€1.6bn) – Winners: Europe +€1bn, US +€495mn, EM +€291mn; Losers: Japan -€157mn, Global DM -€295mn; Smart Beta covering all regions saw +€442mn inﬂows. Regional ﬂow drivers:
Europe (+€1bn): Smart Beta, Country (UK & Germany) and Sector (Financials) ETFs. Within Smart Beta, Multi Factor and ESG ETFs were favoured, while Dividend ETFs had small outﬂows.
Other regions (+€0.6bn): 1) EM inﬂows (MSCI Emerging Markets) 2) US inﬂows (S&P 500). 3) Japan outﬂows (Nikkei 400) 4) Global DM outﬂows (MSCI World partly oﬀset by inﬂows into MSCI World Momentum)
Fixed Income (+€2.2bn) – All major regions experienced net inﬂows; Europe (+ €0.6bn), US (+€0.5bn), EM (€0.3bn), Global (€0.2bn). Regional ﬂow drivers:
Europe (+€0.6bn): Corporates and Sovereign ETFs equally contributed to inﬂows
Other regions (+€1.6bn): 1) US inﬂows (mainly Sovereign) 2) EM inﬂows (almost entirely Sovereign) 3) Global DM inﬂows (mixed across all segments)
Commodities (-€94mn) – Outﬂows from Crude Oil (-€215mn) oﬀset inﬂows into Gold (+€226mn)
Turnover: MoM turnover decreased by 5% The total turnover activity into European ETPs decreased by 5% where total turnover observed was (€52.6bn) compared to the last month’s total (€55.6bn).