ETF net flows worldwide reached US$10 billion during February 2016, slightly lower than prior month’s US$12 billion. Equity products experienced net withdrawals of US$13 billion, which was completely offset by the same amount of bond fund inflows. Commodity (mostly Gold products) and other ETFs added another US$10 billion. ETF assets stood at US$2.8 trillion globally.
In the U.S., equity products suffered US$15 billion in net redemptions amid market volatility. On the other hand, Bond USD garnered over US$8 billion in net new money. In addition, Gold products attracted over US$5 billion in net flows.
European ETFs saw a moderate US$3 billion in net flows, the same level as the prior month. Equity products saw withdrawals of US$2 billion, while Gold ETPs gathered almost US$3 billion in net flows. Asia gathered the largest amount of inflows with US$4 billion among all regions. In contrast to other regions, equity products garnered US$3 billion in net new money, mostly from Equity Japan, Equity Korea and Equity Hong Kong ETFs.
BNP Easy MSCI Europe Ex Controversial Weapons TrkC was the biggest ETF new launch in February, attracting nearly $130 million in net flows. It tracks MSCI Europe ex Controversial Weapons (NTR) index, an environmental, social and governance (ESG) index, which enables investors to avoid investments in certain types of weapons.
This ETF is one of the sub-funds of BNP Paribas Easy, an umbrella fund registered in Luxembourg. Notably, newly-launched BNPP EasyNMX 30 Infrastructure Global UCITS ETF and FTSE EPRA/NAREIT Developed Europe UCITS ETF QD are also sub-funds of BNP Paribas Easy.