Rieger Report®: Bond ETF Fund Flows

Bond ETF Fund Flows: As of October 30, 2020

Bond ETFs slip a bit in assets as a RO/RO rotation moves in along with the equity markets slide.

  • Net bond ETF flows are a positive $176 billion year-to-date
  • Broad based, investment grade bond ETFs see 30-day inflows of over $9.7 billion but that has slowed from over $12 billion seen in September.
  • “Risk-off” has been elevated as equity market volatility leads into the week of horrors for the markets. High yield bond ETFs lost over $4.8 billion in assets in the last 30 days.
  • Assets in Muni ETFs tread water as inflows have slowed dramatically.

Winners year-to-date:

  • Investment grade corporate bond ETFs saw inflows of over $58 billion year-to-date
  • Broad based bond ETFs have attracted over $54 billion
  • High yield corporate bond ETFs have seen inflows of over $15.4 billion (down from nearly $20 billion mid-October)

Laggards year-to-date:

  • Senior loan (Bank Loan) floating rate funds have seen outflows of $2.8 billion
  • Long U.S. Treasury bond ETFs have seen net positive inflows of $1.9 billion

Source: ETF Action. Data as 10/30/2020.

Bond ETF Assets Under Management

Source: ETF Action. Table is provided for illustrative purposes only.  Past performance is not a guarantee of future results. (1) Not all ETFs or asset classes represented here. (2) Excluding floating rate. FactSet classifications are used.  Data as 10/30/2020.

Data Resources Used in this Report:

Analyst Disclosure:

  • At the time of this writing, JR Rieger’s fixed income related holdings include various investment grade & high yield municipal bonds, insured municipal bonds, municipal bond money market funds and a position in the VanEck Vectors High-Yield Municipal Index ETF (HYD).

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