The European exchange-traded funds industry saw $522 million of net outflows from ETFs and other exchange-traded products in June, snapping a 26-month streak of net inflows, London-based ETFGI reported.
June's outflows brought year-to-date net inflows into ETFs/ETPs listed in Europe to $68.2 billion, according to ETFGI, an independent research and consultancy firm that covers the global ETFs/ETPs marketplace.
"Investors are concerned about the humanitarian, political and economic impact of the war in the Ukraine, the impact of inflation, central bank policy, political uncertainty in the U.K. and rising COVID infections and (hospitalization) rates," said Deborah Fuhr, managing partner, founder and owner of ETFGI, in an email Monday.
Still, that $68.17 billion of net inflows marked the second highest on record for a first half for ETFs/ETPs listed in Europe, ranking below the $111.97 billion of net inflows registered in the first half of 2021, according to ETFGI.
During June, assets invested in the European ETF/ETP industry fell to $1.37 trillion, down more than 7% from $1.48 trillion at the end of May, ETFGI said.
Equity ETFs/ETPs listed in Europe saw net inflows of $2.99 billion in June, bringing their year-to-date net inflows to $50 billion, lower than the $86.99 billion in net inflows that equity products had attracted during the first half of 2021, ETFGI said.
Fixed-income ETFs/ETPs had $1.7 billion of net outflows in June, ETFGI said. That brought their net inflows for the year through June to $11.35 billion, less than the $16.7 billion of net inflows fixed-income products had attracted during the first half of 2021.
European-listed commodities ETFs/ETPs had net outflows of $1.52 billion in June. Active ETFs/ETPs also reported net outflows, leaking $325 million for the month.
Meanwhile, ETFGI reported on Monday that net inflows into U.S.-listed ETFs/ETPs totaled $44.05 billion in June, bringing year-to-date net inflows to $307.5 billion. That $307.5 billion of net inflows into U.S.-listed ETFs/ETPs ranked as their second-highest first half on record behind $472.2 billion in the first half of 2021, according to ETFGI.
"ETFs /ETPs continue to be a preferred wrapper for investors to implement asset allocation," Ms. Fuhr said regarding the U.S. flow numbers.
