Another ETF managed by State Street, SPDR Gold Shares (NYSEArca: GLD), shed $6.6 billion during the quarter. Total assets in the biggest gold ETF currently stand at $62.5 billion.
Koesterich in the FT report said the flow data did not reveal a so-called great rotation from bonds to stocks since fixed-income ETF inflows remained solid, above the $10bn level for an eighth consecutive quarter.
“However, we are seeing a rotation within fixed-income ETFs with more investors preparing themselves for a rise in US interest rates, leading to outflows from Treasury-linked ETFs and into floating rate funds,” the BlackRock strategist said in the article.
Global ETF assets currently stand at $2 trillion.
Full disclosure: Tom Lydon’s clients own SPY and GLD.