February 2020 Bond ETF Flow Report

What are the Bond ETF Flows Telling Us?

  • Market volatility including the Coronavirus driven market is skewing is risk-off/risk-on asset class results helping to drive fund flows into high grade bond ETFs and away from risky assets.
  • As reported by ETF Action:
    • Net fund flows for bond ETFs were positive for February as fund flows move away from risky assets. The February 2020 shift into bond ETFs was $18.7billion.
    • Winners for February:
      • U.S. Treasury Bond ETFs saw inflows of over $7.6billion
      • Investment grade corporate bond ETFs saw inflows of over$2.2billion
      • Municipal bond ETFs saw inflows of over $1.9billion
    • Outflow leaders for February include:
      • High yield bond ETFs saw outflows of over $9.7billion
      • Senior loan (Bank Loan) ETFs saw outflows of over $2.1bilion

Sources: ETF Action. Data as 2/28/2020.

Bond ETF Assets Under Management

RiegerReport_030220_0-1

Source: ETF Action. Table is provided for illustrative purposes only. Past performance is not a guarantee of future results. (1)Not all ETFs represented here. FactSet classifications are used. Data as 2/28/2020.

Data Resources Used in this Report:

Analyst Disclosure:

  • At the time of this writing, JR Rieger owns individual municipal bonds and a municipal bond fund.

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