US equity and emerging market equities were the most popular exposures for ETF investors in October, data shows.
The sectors gathered $8.1 billion (€7.3 billion) and $3.6 billion respectively, according to research from BlackRock.
The firm said that US equity flows reflected a difference in sentiment between US and European investors. US ETF investors put a net $8.6 billion into US companies; European investors redeemed $400 million.
Where Europe and the US investors found common ground was in US financials, which saw inflows of over $1.1 billion.
Ursula Marchioni, chief strategist Europe, Middle East and Africa for BlackRock’s ETF division iShares, said demand for financials demonstrated that European investor fears about their domestic banking sector.
This morning following the Donald Trump election victory, ETF provider WisdomTree suggested ETF investors should consider a US small-caps and US quality dividends, which the firms thought would benefit from Trump’s policies.
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