Investing March 27, 2001

Markets Pull Down ETFs Despite Net Fund Inflows

March 27, 2001 (PLANSPONSOR.com) - Exchange-traded fund (ETF) assets dropped almost 11% last month, caught in the downturn in US markets.
Reported by

Combined ETF assets totaled $64.31 billion at the end of February according to the Investment Company Institute (ICI), a $7.82 billion drop (10.8%) from January’s total.

An exchange-traded fund is an investment company with shares that trade intraday on stock exchanges at market-determined prices. Investors may buy or sell ETF shares through a broker just as they would the shares of any publicly traded company.

For more stories like this, sign up for the PLANSPONSOR NEWSDash daily newsletter.

Issuance Up, Redemptions Down

Net issuance of ETF shares increased to $3.21 billion from $2.34 billion in January.  $6.174 billion were issued versus $2.96 billion in redemptions, according to ICI.  Redemptions during the month were actually well below January’s $3.987 billion.

Broad-based domestic equity ETFs held $56.846 billion, versus $63.801 billion the month before.  Sector/industry focused ETFs stood at $5.549 billion, down from $6.299 billion in January.

Global/international ETF holdings totaled $1.915 billion, down from $2.034 billion in January.

The ICI report includes 28 broad-based domestic equity ETFs, 29 domestic sector/industry focused funds, and 25 global/internationally-oriented ETFs.

Statistics contained in the monthly ETF report have been obtained from information provided to ICI by exchange-traded funds. Trust-issued receipts, such as Holding Company Depository Receipts (HOLDRS), are not included in the report because they are not issued by registered investment companies.


 

«