Why Vanguard Led ETF Inflows In November | ETF Trends

November’s exchange traded fund (ETF) asset numbers revealed some interesting things: assets in ETFs are at a new record high, fixed income topped $100 billion for the first time ever and Vanguard was the fastest-growing provider.

The National Stock Exchange numbers were released last week, and Matt Hougan for IndexUniverse notes that Vanguard has been putting on a show in terms of gathering assets. (See how well assets in the ETF industry fared in November).

Vanguard pulled in $5.4 billion in inflows in November, leading all firms and outpacing BlackRock’s ( BGI’s) $4.2 billion inflows. Vanguard has been on the heels of BlackRock for a few months now, and it appears that they have outpaced them. (iShares and BlackRock are a done deal).

  • Vanguard’s growth has eclipsed all other major providers, up 108%, while BlackRock has grown 9%, PowerShares 2% and State Street Global at 1%.(Numbers account for growth between 2007-2009)
  • Vanguard managed to rake in more inflows with 45 ETFs, vs. BlackRock’s 150 funds

Hougan says that Charles Schwab‘s commission-free ETFs could up the stakes. (Why Schwab’s ETF industry entrance is big). The increased competition on the pricing front can only benefit investors.

Other interesting notes about the month of November:

  • Market Vectors Junior Gold Miners (NYSEArca: GDXJ) amassed $487 million in assets in its first month of trading, making it one of the most impressive debuts of an ETF ever
  • ProShares and Direxion continue to pull in assets and are number three and number five, respectively, on the list of net cash inflows for the year

For more stories about ETFs, visit our ETF 101 category.

The opinions and forecasts expressed herein are solely those of Tom Lydon, and may not actually come to pass. Information on this site should not be used or construed as an offer to sell, a solicitation of an offer to buy, or a recommendation for any product.