We use cookies to understand how you use our site and to improve your experience.
This includes personalizing content and advertising.
By pressing "Accept All" or closing out of this banner, you consent to the use of all cookies and similar technologies and the sharing of information they collect with third parties.
You can reject marketing cookies by pressing "Deny Optional," but we still use essential, performance, and functional cookies.
In addition, whether you "Accept All," Deny Optional," click the X or otherwise continue to use the site, you accept our Privacy Policy and Terms of Service, revised from time to time.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
The month of July was moderately upbeat for the S&P 500. The month marked the sixth straight monthly gains. While delta variant of COVID-19 subdued the market momentum occasionally, upbeat earnings helped investors to keep hope on the recovery. In this scenario, we highlight ETF asset flows for the month of July (per etf.com)
S&P 500 & Total Stock Market Top
The S&P 500 gained materially in the month on upbeat corporate earnings.So far, 59% of S&P 500 companies have reported second-quarter earnings results, and 88% of companies have surpassed Wall Street's earnings per share estimates, according to FactSet data. And the expected earnings growth rate for S&P 500 companies is tracking toward 85.1%, which marked the biggest leap since the fourth quarter of 2009.
Vanguard S&P 500 ETF (VOO - Free Report) and Vanguard Total Stock Market ETF (VTI - Free Report) amassed about $5.04 billion and $3.25 billion in assets, respectively.
Bond Market Hot Too
Vanguard Short-Term Bond ETF (BSV - Free Report) fetched about $4.92 billion in assets. Renewed coronavirus threat in different parts of the world have probably given a boost to safe-haven bond investing.
Pharma & Healthcare Corners Winning
Earnings expectations of the healthcare sector are upbeat as the sector is likely to log 23.2% growth in the second quarter of 2021 on revenue growth of 18.4%, per the Earnings Trends issued on Jul 28, 2021. Higher demand for drugs, testing and vaccines for COVID-19 is a plus for the sector.
The valuation of the sector is also compelling. The forward P/E of the large-cap pharma industry is 14.77X versus 21.00X of the S&P 500. The PEG of the industry is 2.22% versus 2.04% of the S&P 500. The dividend yield of the sector is 2.55% versus 1.35% of the S&P 500. Health Care Select Sector SPDR Fund (XLV - Free Report) has attracted about $2.96 billion in assets (read: Pharma & Healthcare ETFs at a One-Year High: Here's Why).
TIPS Stand Tall
Annual inflation rate in the United States jumped to 5.4% in June of 2021 from 5% in May, hitting a fresh high since August of 2008, and well above forecasts of 4.9%. No wonder, iShares TIPS Bond ETF (TIP - Free Report) has added about $2.62 billion in assets.
Small-Cap ETFs Were Among the Big Losers
iShares Russell 2000 ETF (IWM) saw about $1.80 billion in assets gushing out. In any case, July was dominated by large-cap stocks and ETFs. Probably this was the reason why investors shied away from the small-cap segment. iShares Core S&P Small-Cap ETF (IJR - Free Report) and iShares S&P Small-Cap 600 Value ETF (IJS - Free Report) too lost about 1.13 billion and $979.9 million in assets.
Developed Markets on a Winning Momentum Too
iShares Core MSCI EAFE ETF (IEFA - Free Report) and Vanguard FTSE Developed Markets ETF (VEA) lost about $2.35 billion and $1.95 billion in assets, respectively. Gradual reopening of economies along with super-easy money policies helped the global markets to garner investors’ attention.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
ETF Asset Report of July
The month of July was moderately upbeat for the S&P 500. The month marked the sixth straight monthly gains. While delta variant of COVID-19 subdued the market momentum occasionally, upbeat earnings helped investors to keep hope on the recovery. In this scenario, we highlight ETF asset flows for the month of July (per etf.com)
S&P 500 & Total Stock Market Top
The S&P 500 gained materially in the month on upbeat corporate earnings.So far, 59% of S&P 500 companies have reported second-quarter earnings results, and 88% of companies have surpassed Wall Street's earnings per share estimates, according to FactSet data. And the expected earnings growth rate for S&P 500 companies is tracking toward 85.1%, which marked the biggest leap since the fourth quarter of 2009.
Vanguard S&P 500 ETF (VOO - Free Report) and Vanguard Total Stock Market ETF (VTI - Free Report) amassed about $5.04 billion and $3.25 billion in assets, respectively.
Bond Market Hot Too
Vanguard Short-Term Bond ETF (BSV - Free Report) fetched about $4.92 billion in assets. Renewed coronavirus threat in different parts of the world have probably given a boost to safe-haven bond investing.
Pharma & Healthcare Corners Winning
Earnings expectations of the healthcare sector are upbeat as the sector is likely to log 23.2% growth in the second quarter of 2021 on revenue growth of 18.4%, per the Earnings Trends issued on Jul 28, 2021. Higher demand for drugs, testing and vaccines for COVID-19 is a plus for the sector.
The valuation of the sector is also compelling. The forward P/E of the large-cap pharma industry is 14.77X versus 21.00X of the S&P 500. The PEG of the industry is 2.22% versus 2.04% of the S&P 500. The dividend yield of the sector is 2.55% versus 1.35% of the S&P 500. Health Care Select Sector SPDR Fund (XLV - Free Report) has attracted about $2.96 billion in assets (read: Pharma & Healthcare ETFs at a One-Year High: Here's Why).
TIPS Stand Tall
Annual inflation rate in the United States jumped to 5.4% in June of 2021 from 5% in May, hitting a fresh high since August of 2008, and well above forecasts of 4.9%. No wonder, iShares TIPS Bond ETF (TIP - Free Report) has added about $2.62 billion in assets.
Small-Cap ETFs Were Among the Big Losers
iShares Russell 2000 ETF (IWM) saw about $1.80 billion in assets gushing out. In any case, July was dominated by large-cap stocks and ETFs. Probably this was the reason why investors shied away from the small-cap segment. iShares Core S&P Small-Cap ETF (IJR - Free Report) and iShares S&P Small-Cap 600 Value ETF (IJS - Free Report) too lost about 1.13 billion and $979.9 million in assets.
Developed Markets on a Winning Momentum Too
iShares Core MSCI EAFE ETF (IEFA - Free Report) and Vanguard FTSE Developed Markets ETF (VEA) lost about $2.35 billion and $1.95 billion in assets, respectively. Gradual reopening of economies along with super-easy money policies helped the global markets to garner investors’ attention.