We speak about very large creation activity that has occurred in the short term in a prominent “All Cap Equity” ETF, VTI (Vanguard Total Stock Market, Expense Ratio 0.05%), and likely not coincidentally ahead of the highly anticipated quarterly earnings release of AAPL, the ETF’s highest single weighting (3.24%), which of course is expected tonight after the closing bell.
VTI has pulled in nearly $2 billion in net inflows lately, which even given the fund’s massive $57 billion asset base, is still no number to sneeze at given the fact that VTI is the fourth largest ETF in the U.S. listed universe period, in terms of asset size behind SPY, IVV, and EFA.
VTI is actually only $3 billion behind EFA for the third spot in terms of largest U.S. listed ETFs in AUM terms, and could surely soon eclipse it in size given the recent torrid pace of inflows.
VTI’s expense ratio of 5 basis points also ranks among the lowest of all U.S. listed ETFs, and surely is attractive to many of the retail and institutional investors whom have embraced the product in recent years (it debuted in May of 2001).
In terms of “All Cap Equity” products, VTI has a pronounced advantage currently over competing products in the space in asset size, with IWV (iShares Russell 3000, Expense Ratio 0.20%), and SCHB (Schwab U.S. Broad Market, Expense Ratio 0.04%) which have $6.3 billion and $5 billion in AUM respectively.