It's July for the record books.
State Street Global Advisors found that inflows into exchange-traded funds totaled $127 billion. Not only was it the best July ever, but the firm’s head of SPDR Americas research noted that it was also the second-largest monthly inflow ever.
“Part of it is just the market,” Matt Bartolini said on CNBC’s “ETF Edge” on Thursday. “We’re seeing investors deploying money on the sidelines. A lot of money has been accumulated over the years. We’re starting to see investors making a concerted effort to continue buying into this rally. We’ve also seen a kind of expansion in the depth of the market in terms of turnover happening.”
Bartolini also points to a narrowing gap between growth-oriented ETFs and value-oriented ETFs.
“It's not sun-centric, it's technology-centric,” he said.
The first trillion dollars in the history of the ETF industry?
Troy Donohoe of BTIG believes ETFs are on track to hit a major milestone by the end of the year, as long as the macro factors of the election season don't make investors too hesitant.
“It’s been a great start to the year,” said Donohoe, head of portfolio trading for the Americas at BTIG. “This could be the first year the ETF industry hits $1 trillion.”
Disclaimer
