Money in the markets and exchange traded funds (ETFs) is continuously ebbing and flowing. As the market recovers, it’s always interested to take a look and see where the cash is going.
Last week, a solid majority of fund types reported their best weekly inflows of the year while money market funds experienced large outflows, writes Joe Morris for Ignites.
EPFR Global data shows where all the money has moved: $1.62 billion went into global bond funds, $540 million found its way into emerging-market bond funds, $925 million funneled into the real estate sector, $1.74 billion flowed into global equity funds, and money funds lost $47.2 billion.
Some ETFs representing these areas include:
- SPDR Barclays International Treasury Bond Fund (NYSEArca: BWX): up 6.6% year-to-date
- PowerShares Emerging Mkts Sovereign Debt (NYSEArca: PCY): up 37.7% year-to-date
- iShares Dow Jones U.S. Home Construction (NYSEArca: ITB): up 37.2% year-to-date
- SPDR S&P World ex-US (NYSEArca: GWL): up 25.9% year-to-date
- WisdomTree U.S. Current Income Fund (NYSEArca: USY): up 2.1% year-to-date
Commodity sector funds also added $1 billion last week, accumulating more than $9 billion in year-to-date inflows.
- iShares S&P GSCI Commodity Indexed Trust (NYSEArca: GSG): up 2.8% year-to-date
Investors are becoming more confident, but many still remain cautious about the market. U.S. bond funds have seen net inflows every week this year and recently saw an increase by $2.79 billion. Global bond funds have seen inflows for 23 straight weeks.
- iShares Lehman 7-10 Year Treasury Bond Fund ETF (NYSEArca: IEF): down 5.4% year-to-date
Value funds are outperforming growth funds for the first time since late August. U.S. stock funds received $340 million, mid-cap ETFs, U.S. sector funds and actively managed big-cap growth funds all raked in new money as big-cap blend ETFs saw outflows.
- Vanguard Total Stock Market (NYSEArca: VTI): up 22.8% year-to-date
- Vanguard Large-Cap ETF (NYSEArca: VV): up 20.8% year-to-date
Max Chen contributed to this article.