Japanese ETF Net Inflows Continue To Climb In September | ETF Trends

ETFGI, a leading independent research, and consultancy firm covering trends in the global ETFs/ETPs ecosystem, reported today that ETFs and ETPs listed in Japan saw net inflows of US$1.93 billion in September, bringing year-to-date net inflows to $34.47 billion.

According to ETFGI’s September 2019 Japanese ETFs and ETPs industry landscape insights report, assets invested in the Japanese ETFs/ETPs industry have increased by 4.8%, from US$355.09 billion at the end of August, to a record US$372.00 billion.

“The S&P 500® gained 1.9% during September despite slowing economic growth, ongoing trade disputes, and a presidential impeachment inquiry. Shifting the focus to the S&P Developed ex-U.S. BMI, the index was up 3.0%, as 23 of 25 countries gained during the month; the highest gainer in the month was Korea (up 6.4%), while Hong Kong continued to decline (down 0.8%). From an Emerging Markets standpoint, the S&P Emerging BMI gained 1.4%, with 15 of the 23 reporting gains. Globally, equities reclaimed prior month losses, gaining 2.1%, as measured by the S&P Global BMI (38 out of 50 countries reporting gains).” According to Deborah Fuhr, managing partner, founder, and owner of ETFGI.

Listed Japanese Equity ETFs/ETPs saw net inflows of $2.73 billion in September 2019, bringing net inflows for the year to September 2019 to $35.19 billion, considerably less than the $54.17 billion in net inflows equity products had gathered in the year to September 2018.

Meanwhile, leveraged ETFs/ETPs listed in Japan had net outflows of $2.39 billion in September, raising outflows for the year to September 2019 to $4.11 billion, still less than the $999 million in net outflows leveraged products had in the year to September 2018.

At the end of September 2019, the Bank of Japan maintained ETF/ETP assets of $256 Bn. During September 2019, the Bank of Japan purchased ETF/ETP assets to the value of $34 Bn.

Major inflows can be attributed to the top 20 ETF’s by net new assets, which collectively generated $6.122 billion in September, the TOPIX Exchange Traded Fund gathered $1.58 billion alone.

Some of the top ETF names included: TOPIX Exchange Traded Fund (1306 JP)NEXT FUNDS Nikkei 225 Double Inverse Index Exchange Traded Fund (1357 JP), MAXIS TOPIX ETF (1348 JP), Listed Index Fund 225 (1330 JP), and Daiwa ETF NIKKEI 225 (1320 JP). 

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