Actively managed ETFs — especially those with exposure to India’s world-beating growth and Latin American stocks — have lured nearly half a billion dollars over the past month, according to data compiled by Bloomberg on US-based funds. At the same time, investors have yanked $3.5 billion out of passive, China-heavy strategies.
Traders withdrew more than $2 billion in August from the $21.6 billion iShares Emerging Markets ETF, one of the biggest US-based ETFs that focused on broad developing economies. The fund allocates about a third of its capital into China. That’s paid off for traders as India’s massive middle class and fast-growing economy help support its financial assets. Mexico’s stock market, meanwhile, is one of the best performing of 2023, while Brazilian shares are up as policymakers embark on an easing cycle.
Although active ETFs tracking emerging markets only make up about 4% of the universe of EM funds, the category brought in more than 40% of the fresh cash from June 1 through Sept. 6, according to Bloomberg Intelligence. This is more evidence that actively managed strategies are coming to the forefront for the ETF industry, where active assets for US-listed funds reached a record $444 billion as of July, the Bloomberg Intelligence data show.
Shares of all three active ETFs have risen at least 6% so far this year, far outpacing the less-than-2% rise of MSCI Inc.’s emerging-market stock gauge.
Entertainment Entertainment Latest News, Entertainment Entertainment Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Source: CryptoAmb - 🏆 22. / 68 Read more »