Equity ETFs drew the lion’s share of investor cash in October, as assets in the industry decreased due to poor performance in the underlying markets.
The European ETF industry experienced estimated net inflows of €4.8 billion for the month. Equities posted the highest net inflows with €2.3 billion of investment, while bonds added €2 billion, according to the latest data from Refinitiv.
Meanwhile, assets under management in the European ETF industry fell by €8.3 billion to €874.3 billion throughout October despite the inflows from net sales.
Detlef Glow, regional head of research at Refinitiv, said: “The market environment turned negative as the second wave of the Covid-19 pandemic hit major markets in Europe and investors feared a second coronavirus lockdown-induced economic downturn.”
Overall, Glow said October was “another positive month” for Europe’s ETF industry “since promoters enjoyed inflows”.
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