Investing

Record Assets and Net Inflows for Smart Beta ETFs and ETPs Listed Globally of US$1.24 Trillion and US$102.03 Billion Respectively at the End H1 2021

By ETFGI

ETFGI, an independent research and consultancy firm covering trends in the global ETFs/ETPs ecosystem, reports record assets and net inflows for Smart Beta ETFs and ETPs listed globally of US$1.24 trillion and US$102.03 billion respectively at the end H1 2021.   Smart Beta ETFs and ETPs providing equity exposure listed globally gathered net inflows of US$14.27 billion during June, bringing year-to-date net inflows to a record US$102.03 billion which is higher than the US$12.36 billion gathered at this point last year.  Year-to-date through the end of June 2021, Smart Beta Equity ETF/ETP assets have increased by 23.8% from US$999 billion to US$1.24 trillion, with a 5-year CAGR of 22.8%, according to ETFGI’s June 2021 ETF and ETP Smart Beta industry landscape insights report, a monthly report which is part of an annual paid-for research subscription service.  (All dollar values in USD unless otherwise noted.)

Highlights

  • Record $1.24 Tn invested in Smart Beta ETFs and ETPs industry at end of H1 2021.
  • Assets have increased 23.8% in H1 going from $999 Bn at end of 2020 to $1.24 Tn.
  • Record H1 net inflows of $102.03 Bn beating prior record of $44.77 Bn gathered in H1 2015.
  • $102.03 Bn H1 net inflows are $49.71 Bn greater than the full year 2020 record net inflows $52.32 Bn.
  • $142.72 Bn in net inflows gathered in the past 12 months.
  • 11th month of consecutive net inflows
  • Equity Smart Beta ETFs and ETPs listed gathered a record $102.03 Bn in net inflows in H1 2021.

“The S&P 500 gained 2.33% in June and are up 15.25% in the first half of 2021. Developed markets ex-U.S. lost 0.82% in June but are up 9.96% in the first half. Emerging markets are up 0.47% in June and are up 9.03% in the first half, “according to Deborah Fuhr, managing partner, founder and owner of ETFGI.

At the end of June 2021, there were 1,325 smart beta equity ETFs/ETPs, with 2,634 listings, assets of $1.24 Tn, from 194 providers listed on 45 exchanges in 37 countries.

Comparison of Assets in Market Cap, Smart Beta, Other and Active Equity Products

Source: ETFGI data sourced from ETF/ETP sponsors, exchanges, regulatory filings, Thomson Reuters/Lipper, Bloomberg, publicly available sources and data generated in-house. Note: This report is based on the most recent data available at the time of publication. Asset and flow data may change slightly as additional data becomes available.

Following net inflows of $14.27 Bn and market moves during the month, assets invested in Smart Beta ETFs/ETPs listed globally increased by 1.64%, from $1.22 Tn at the end of May 2021 to $1.24 Tn.   Fundamental ETFs and ETPs attracted the greatest monthly net inflows, gathering $10.16 Bn during June. Volatility ETFs and ETPs suffered the largest net outflows during the month at $433 Mn.

Substantial inflows can be attributed to the top 20 Smart Beta ETFs/ETPs by net new assets, which collectively gathered $11.60 Bn during June. Vanguard Value ETF (VTV US) gathered $1.25 Bn the largest net inflow.

Top 20 Smart Beta ETFs/ETPs by Net New Assets June 2021

Name Ticker Assets (US$ Mn) June-21 NNA (US$ Mn) YTD-21 NNA (US$ Mn) June-21
Vanguard Value ETF VTV US 81,704.88 10,234.10 1,245.16
SPDR Portfolio S&P 500 Growth ETF SPYG US 12,378.48 1,405.25 1,221.76
Schwab US Dividend Equity ETF SCHD US 26,038.71 6,554.07 1,117.53
iShares Edge MSCI World Value Factor UCITS ETF – Acc IWVL LN 6,789.58 3,008.73 888.92
iShares S&P Small-Cap 600 Value ETF IJS US 10,103.53 1,759.36 797.02
Vanguard Growth ETF VUG US 78,864.17 1,600.61 622.91
iShares Trust iShares ESG Aware MSCI USA ETF ESGU US 18,417.78 2,900.00 616.44
iShares Edge MSCI USA Momentum Factor ETF MTUM US 15,305.22 1,121.41 521.02
iShares MSCI EAFE Value ETF EFV US 14,368.53 6,327.90 493.18
iShares Edge MSCI USA Quality Factor ETF QUAL US 21,575.91 2,744.46 467.48
Invesco DWA Momentum ETF PDP US 2,170.35 105.48 407
iShares Edge MSCI International Value Factor ETF IVLU US 1,336.07 706.78 404.47
iShares Core Dividend Growth ETF DGRO US 19,207.03 2,531.45 387.81
iShares ESG MSCI EM ETF ESGE US 7,991.97 1,384.70 373.97
iShares Edge MSCI Europe Value Factor UCITS ETF IEFV LN 3,938.81 1,723.02 368.04
First Trust Rising Dividend Achievers ETF RDVY US 4,781.71 2,416.12 363.72
Goldman Sachs ActiveBeta U.S. Large Cap Equity ETF GSLC US 13,104.74 75.15 352.68
BMO Equal Weight Banks Index ETF ZEB CN 1,651.23 245.17 331.06
Vanguard Small-Cap Value ETF VBR US 24,590.70 2,585.94 313.67
SPDR Portfolio S&P 500 High Dividend ETF SPYD US 4,666.57 1,789.30 304.44

Source: ETFGI data sourced from ETF/ETP sponsors, exchanges, regulatory filings, Thomson Reuters/Lipper, Bloomberg, publicly available sources and data generated in-house. Note: This report is based on the most recent data available at the time of publication. Asset and flow data may change slightly as additional data becomes available.

Contact deborah.fuhr@etfgi.com if you have any questions or comments on the press release or ETFGI events, research or consulting services.