The U.S. exchange-traded fund (ETF) market has reached a monumental milestone, surpassing $10 trillion in assets.
This surge was fueled by a remarkable $691 billion in inflows this year alone, as reported by Bloomberg.
This impressive surge has set the stage for a record-breaking year, with ETF flows on track to shatter the previous record of $900 billion in inflows.
VOO, VGT Outshine SPY In Fund Flows
According to ETF.com data, as of the end of Aug.2024, the market saw a robust performance, with a total of $71 billion pouring into ETFs during the month. Leading the charge were heavyweights such as the Vanguard S&P 500 ETF (NYSE:VOO) and the Vanguard Information Tech ETF (NYSE:VGT), while the SPDR S&P 500 (NYSE:SPY) experienced notable outflows.
As investors diversify their portfolios, it's clear that ETFs are becoming the go-to investment vehicle.
VOO, IVV, VTI Lead YTD Gains
Among the top gainers for the year were the S&P 500 index-tracking Vanguard S&P 500 ETF and iShares Core S&P 500 ETF (NYSE:IVV). The Vanguard S&P 500 ETF has made a significant mark, attracting over $60.5 billion in net flows and boasting an impressive $503 billion in assets under management (AUM). This translates to 12.04% of its AUM, a testament to the confidence investors have in the S&P 500's performance.
Following closely is the iShares Core S&P 500 ETF, raking in about $43.4 billion in net flows, while the Vanguard Total Stock Market Index Fund ETF (NYSE:VTI) pulled in a respectable $21 billion.
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Tech-Focused QQQ, Bitcoin ETF Not Far Behind
The tech sector hasn't been left behind either, with Invesco QQQ Trust (NASDAQ:QQQ) gathering nearly $20.9 billion this year, showcasing a vibrant interest in technology stocks.
The cryptocurrency space is also making waves, as seen in the remarkable inflows into iShares Bitcoin Trust (NASDAQ:IBIT), which attracted around $20.9 billion, capturing an astonishing 98.63% of its AUM.
With these trends, it's clear that ETFs continue to be a major player in the investment landscape, providing investors with diverse options and strategic exposure to various sectors.
As the market evolves, one thing is certain: the ETF party is just getting started!
- VOO Vs. VTI: Vanguard's S&P 500, Total Stock Market ETFs Hit New Highs As S&P 500 Reaches Record Level
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