{"id":89639,"date":"2024-09-15T00:00:00","date_gmt":"2024-09-15T00:00:00","guid":{"rendered":"https:\/\/enterpriseam.com\/ksa\/2024\/09\/15\/another-record-year-for-etfs\/"},"modified":"2024-09-15T00:00:00","modified_gmt":"2024-09-15T00:00:00","slug":"another-record-year-for-etfs","status":"publish","type":"post","link":"https:\/\/enterpriseam.com\/ksa\/2024\/09\/15\/another-record-year-for-etfs\/","title":{"rendered":"Another record year for ETFs?"},"content":{"rendered":"

Global exchange traded funds (ETF) are on course to notch a new record <\/strong>high this year<\/strong>, after inflows rose to USD 129.7 bn in August, despite a summer slowdown and volatility in the market, the Financial Times<\/a> reports, citing data from BlackRock. While this figure sits below July's record USD 198 bn, it edges YTD inflows to USD 969 bn, well ahead of the USD 848 bn logged by the same point in 2021, the peak year for ETF investments.<\/p>\n

Investors favored defensive sectors and fixed income: <\/strong>While technology remained the most popular equity sector, \u201cwe have continued to see buying in defensive sectors, in financials and utilities,\u201d head of investment strategy for BlackRock\u2019s iShares arm in the Emea region Karim Chedid said. In fixed income, government bond ETFs \u2014 one of the safest among the asset class \u2014 attracted USD 18.7 bn, investment-grade corporate bonds took in USD 7.9 bn, and high-yield bonds saw just USD 0.8 bn. ETF demand for gold, another traditional safe haven, has rebounded after a period of outflows, even with gold prices at record highs.<\/p>\n

The overall trend for ETF investments this year is an upwards trajectory<\/strong>, possibly encouraged by expectations of rate cuts, Chedid added. <\/p>\n

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ALSO WORTH KNOWING-<\/p>\n