ETF Inflows & Outflows
Performance Leaders & Laggards
Source: ETF Action; flows and performance data as of 11/30/23; performance data excludes leveraged and inverse products
Weekly ETF Reads
(Warning: This week’s reads are bitcoin ETF heavy. I apologize to those of you fatigued on this topic! The good news is that it looks like spot bitcoin ETFs are approaching the finish line.)
Billions Wiped Out as Stock-Safety Trade on Wall Street Misfires by Emily Graffeo
“Just $786 million has flowed into dividend ETFs so far this year, the smallest haul since 2006.”
Few ETFs Are Paying Out Capital Gains in 2023 by Lan Anh Tran
“Most do a very good job of helping investors defer capital gains taxes, allowing them to pay the taxes they owe when they choose and not when others might stick them with the bill.”
Converted ETFs Could Introduce Tax Baggage by Jeff Benjamin
“Buying a converted ETF in the calendar year of its conversion requires additional due diligence.”
Coinbase Is Dominating a Key Bitcoin ETF Service. Can Anyone Else Join the Race? by Helene Braun
“Coinbase, run by CEO Brian Armstrong, currently is the custodian for nine of the 12 proposed bitcoin ETFs in the U.S.”
In spot bitcoin ETF race, some pioneers stick to the sidelines by Suzanne McGee
“You have to weigh the odds that you’ll end up as one of the winners or an also-ran.”
ProShares Bitcoin Strategy ETF sets fresh AUM high, but analyst sees asset decline ahead by Kathie O’Donnell
“If I had to guess, it would see a cut in half of both assets and volume in the first year.”
Gauging Spot Bitcoin ETF’s Impact on Price Volatility by Omkar Godbole
“Volatility tends to drop as the space matures, more institutional liquidity and infrastructure develops, and the asset acclimates to normalcy.”
Nominations Are Open for the 2024 etf.com Awards by etf.com
“The etf.com nominations open the door to honor and recognize the exemplary contributions and innovations driving the evolution of the ETF industry.”
(Note: I’m extremely excited to serve on the judging panel for this year’s etf.com awards. For readers of this blog, I highly encourage you to submit nominations. They are open from anyone and cover 17 unique categories).
ETF Tweet of the Week
This is a bit self-serving, but I had the pleasure of joining Jay Coulter and Tyrone Ross on their “Crypto Office Hours” this week. We cover spot bitcoin ETFs (obviously), how advisors might/should approach crypto, and The ETF Institute. Jay does a great job with this production, along with FinancialAdvisor.TV. Enjoy!
LIVE: Crypto Office Hours with @tr401 & @sjaycoulter featuring @NateGeraci | SPONSOR: Advisor Breakaway System from @resilientadvsr. Learn more: https://t.co/Np3ruDFRz7 | @401financial @ETFStore @ETFPrime @ETF_Institute #crypto #bitcoin https://t.co/j0FxmwekyW
— Jay Coulter, CFP® & CIMA® (@sjaycoulter) November 27, 2023
ETF Chart of the Week
Another week, another ETF milestone. This time, a bond ETF has hit $100 billion in assets for the first time ever. The Vanguard Total Bond Market ETF (BND) has experienced nearly $16 billion in inflows this year, which has propelled the fund past the lofty mark. Bloomberg’s always colorful Eric Balchunas succinctly explains BND’s success:
“It’s not surprising when you offer up 18,000 bonds for three basis points that it’s going to get weatherproof flows. That’s money coming in rain or shine, because it’s that good of a deal.”
If you’re keeping track at home, BND joins eight other ETFs with assets greater than $100 billion: SPY, IVV, VOO, VTI, QQQ, VEA, IEFA, and VTV. VUG and AGG (BND’s primary competitor) are knocking on the door of this exclusive club.
Source: Bloomberg’s Katie Greifeld
