In October, worldwide ETFs soared with US$60 billion in net flows amid continued growth of the global stock markets. Equity ETFs led with US$50 billion in net new money, followed by bond ETFs accumulating US$11 billion. Meanwhile, commodity ETF products experienced net redemptions of nearly US$1 billion. ETF assets surged to a record high of nearly US$4.575 trillion globally.
In the U.S., equity ETFs amassed US$44 billion of net flows, more than tripling the amount of the month prior, with Equity US - Large Cap alone contributing US$20 billion. Bond ETFs recorded US$9 billion, while commodity ETF products remained flat.
European ETFs gathered US$8 billion in net new cash for the second month in a row, driven by Equity ETFs garnering US$7 billion in net new money. ETFs in Asia, however, suffered US$4.4 billion in net redemptions largely due to US$4.1 billion being pulled out of the Equity Japan category.
BMO High Yield US Corporate Bond Index ETF was the largest ETF launch in October, accumulating US$921 million in net new cash. The ETF managed by BMO is domiciled in Canada and tracks the performance of the Bloomberg Barclays Capital U.S. High Yield Very Liquid Index. Currently, the ETF is listed and traded on the TSX exchange.