iShares dominating ETF inflows for 2017

Vanguard is in second place, with all other competitors falling far behind.
SEP 13, 2017

In the battle for ETF dollars, iShares is breaking through the front lines. BlackRock's iShares saw an estimated net $9.1 billion in new money in August, according to Morningstar estimates, beating rival Vanguard's inflow of $8.7 billion. For the year, iShares has welcomed $140.9 billion in net new cash, versus $94.4 billion for Vanguard. Virtually all other players in the field are so far behind you'd need binoculars to see them. State Street, sponsor of SPDR ETFs, saw $46.5 billion in net new money this year. Charles Schwab & Co., in fourth place for 2017, saw $18.2 billion in new cash. In the battle for assets, Vanguard and iShares are extraordinarily well-positioned. "The two of them are taking market share in a growing pie," said Todd Rosenbluth, senior director of ETF and mutual fund research at CFRA. "That's all the more impressive given the number of newer entrants in the marketplace and the fact that fees are coming down." iShares is doing well in both its core products and its diverse suite of international products. Its iShares Core S&P 500 ETF (IVV), for example, saw $2.1 billion in net new inflows in August, the most of any ETF. Vanguard Total Stock Market ETF (VTI) and Vanguard S&P 500 ETF (VOO) didn't make the top 10 inflows for August. Vanguard Developed Markets Index (VEA), however, did arrive in second place with $2 billion in inflows. So far this year, iShares has six of the top 10 best-selling ETFs and Vanguard has four. The biggest loser is SPDR S&P 500 ETF (SPY), which watched $3.2 billion hit the exits. The fund still clocks in at $247.3 billion in assets, and big asset flows in and out aren't unusual. NASDAQ reported a $4.6 billion inflow to the fund last week alone. The public's love of taxable bonds shines through in this month's ETF flows. Taxable bond ETFs saw $8.3 billion in net new cash in August, nearly as much as the $8.9 billion that went to U.S. equity ETFs. But there are just 259 taxable bond ETFs, versus 396 U.S. equity ETFs. "The trend toward the relative safety of bond products, given the recent geopolitical risks and, most recently, concerns about hurricanes, continues," Mr. Rosenbluth said.

Latest News

SEC bars ex-broker who sold clients phony private equity fund
SEC bars ex-broker who sold clients phony private equity fund

Rajesh Markan earlier this year pleaded guilty to one count of criminal fraud related to his sale of fake investments to 10 clients totaling $2.9 million.

The key to attracting and retaining the next generation of advisors? Client-focused training
The key to attracting and retaining the next generation of advisors? Client-focused training

From building trust to steering through emotions and responding to client challenges, new advisors need human skills to shape the future of the advice industry.

Chuck Roberts, ex-star at Stifel, barred from the securities industry
Chuck Roberts, ex-star at Stifel, barred from the securities industry

"The outcome is correct, but it's disappointing that FINRA had ample opportunity to investigate the merits of clients' allegations in these claims, including the testimony in the three investor arbitrations with hearings," Jeff Erez, a plaintiff's attorney representing a large portion of the Stifel clients, said.

SEC to weigh ‘innovation exception’ tied to crypto, Atkins says
SEC to weigh ‘innovation exception’ tied to crypto, Atkins says

Chair also praised the passage of stablecoin legislation this week.

Brooklyn-based Maridea snaps up former LPL affiliate to expand in the Midwest
Brooklyn-based Maridea snaps up former LPL affiliate to expand in the Midwest

Maridea Wealth Management's deal in Chicago, Illinois is its first after securing a strategic investment in April.

SPONSORED How advisors can build for high-net-worth complexity

Orion's Tom Wilson on delivering coordinated, high-touch service in a world where returns alone no longer set you apart.

SPONSORED RILAs bring stability, growth during volatile markets

Barely a decade old, registered index-linked annuities have quickly surged in popularity, thanks to their unique blend of protection and growth potential—an appealing option for investors looking to chart a steadier course through today's choppy market waters, says Myles Lambert, Brighthouse Financial.