ETF Snapshot: Investment grade and government bonds record fourth week of inflows

Small cap ETFs only asset class to record outflows

During the week ending 14 July, investors continued to shrug off talk of the end to the multi-decade bond bull run, according to data from TrackInsight, as both investment grade and government bond ETFs recorded strong inflows.

Developed investment grade bond ETFs saw inflows of €3.1bn while developed government bond ETFs recorded positive flows of €1.5bn, both their fourth consecutive weekly inflows. This was a strong week for bond ETFs as developed high yield bonds and emerging bonds also saw inflows of €1.1bn and €350m, respectively. Is this 'the beginning of the end' for multi-decade bond bull run? There was also appetite for equity stocks as US large cap ETFs built on its strong flows from the previous week with inflows of €2.2bn, while global stocks saw inflows of €1.6bn. Small caps was the only ...