We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
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.
Overall, ETFs pulled out $14 billion in capital from the week ending Mar 24, with U.S. equity ETFs seeing the largest outflow of $14 billion. This marks a reversal from the $17.5 billion inflow for U.S. equity ETFs in the previous week. U.S. fixed-income ETFs accumulated $6.2 billion in its assets, while leveraged ETFs gathered $1 billion, per etf.com.
As such, iShares Edge MSCI USA Quality Factor ETF (QUAL - Free Report) , Invesco QQQ Trust (QQQ - Free Report) , iShares U.S. Treasury Bond ETF (GOVT - Free Report) , iShares MSCI EAFE Growth ETF (EFG - Free Report) and iShares Core Total USD Bond Market ETF (IUSB - Free Report) dominated the top creation list last week.
U.S. equities lost their appeal on continued worries over the banking system. Shares of the Deutsche Bank (DB - Free Report) tumbled 24% last week and followed a steep rise in the cost of ensuring the bank’s debt against the risk of default. Deutsche’s credit default swaps reached over 220 basis points, the highest since late 2018. The German giant accelerated the banking sector turmoil, compelling investors to park their money in defensive sectors (read: ETF Winners & Losers from the Banking Crisis).
Meanwhile, the fixed-income market got a boost from the Fed’s decision. As expected, the Fed raised interest rates by 25 bps in the FOMC meeting, taking the range for the fed funds rate to 4.75-5%, the highest since October 2007. It signaled an end to interest rate increases as some additional policy firming may be appropriate to attain a stance of monetary policy that is sufficiently restrictive to return inflation to 2% over time.
iShares Edge MSCI USA Quality Factor ETF was the top asset creator last week, pulling in $6.6 billion in capital. It provides exposure to large and mid-cap stocks exhibiting positive fundamentals (high return on equity, stable year-over-year earnings growth and low financial leverage) by tracking the MSCI USA Sector Neutral Quality Index. QUAL holds 124 stocks in its basket, with each making up not more than 5.4% share.
With an AUM of $25.2 billion, iShares Edge MSCI USA Quality Factor ETF charges 15 bps of annual fees and trades an average daily volume of 1.6 million shares.
Invesco QQQ saw an inflow of $4.3 billion in capital. It provides exposure to the 101 largest domestic and international non-financial companies listed on the Nasdaq by tracking the Nasdaq 100 Index. Invesco QQQ is heavily concentrated on the top two firms with a double-digit allocation, while other firms hold no more than 6.1% of assets. The product is also heavily tilted toward information technology at 49.4%, while communication services and consumer discretionary round off the next two spots (read: Filling ETFs in March Madness "Final Four" Brackets).
Invesco QQQ is one of the largest and most popular ETFs in the large-cap space, with AUM of $168.1 billion and an average daily volume of 56 million shares. QQQ charges investors 20 bps in annual fees and has a Zacks ETF Rank #2 (Buy) with a Medium risk outlook.
iShares U.S. Treasury Bond ETF gathered $2.9 billion in capital. It offers exposure to the broad U.S. Treasury market with treasuries ranging from 1-30 year maturities by tracking the IDC US Treasury Core Index. With AUM of $25.4 billion, iShares U.S. Treasury Bond ETF holds 137 bonds in its basket with a weighted maturity of 7.82 years and an effective duration of 6.20 years.
iShares U.S. Treasury Bond ETF charges investors 5 bps in fees per year and trades in average daily volume of 13.2 million shares. It has a Zacks ETF Rank #3 (Hold) with a Medium risk outlook.
iShares MSCI EAFE Growth ETF has pulled in $1 billion in capital, taking its total AUM to $12.2 billion. It offers exposure to a broad range of companies in Europe, Australia, Asia, and the Far East whose earnings are expected to grow at an above-average rate relative to the market. iShares MSCI EAFE Growth ETF follows the MSCI EAFE Growth Index and holds 424 stocks in its basket. Japanese firms make up for 21.5% of the portfolio, while France, Switzerland and United Kingdom round off the next three spots with double-digit exposure each.
iShares MSCI EAFE Growth ETF charges 36 bps in annual fees and trades in an average daily volume of 983,000 shares. It has a Zacks ETF Rank #4 (Sell) with a Low risk outlook.
iShares Core Total USD Bond Market ETF has pulled in $969 million in capital, taking its total AUM to $21.8 billion. It offers exposure to potentially higher-yielding bonds not included on the Bloomberg U.S. Aggregate Bond Index. iShares Core Total USD Bond Market ETF tracks the Bloomberg U.S. Universal Index and holds 15,010 stocks in its basket. From an industrial look, Treasury, MBS Pass-Through and Industrial take a double-digit exposure each (read: Junk Bond ETFs Appear in Trouble Due to Banking Crisis).
iShares Core Total USD Bond Market ETF charges 6 bps in annual fees and trades in an average daily volume of 2.6 million shares.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
5 ETFs That Gained Investors' Love Last Week
Overall, ETFs pulled out $14 billion in capital from the week ending Mar 24, with U.S. equity ETFs seeing the largest outflow of $14 billion. This marks a reversal from the $17.5 billion inflow for U.S. equity ETFs in the previous week. U.S. fixed-income ETFs accumulated $6.2 billion in its assets, while leveraged ETFs gathered $1 billion, per etf.com.
As such, iShares Edge MSCI USA Quality Factor ETF (QUAL - Free Report) , Invesco QQQ Trust (QQQ - Free Report) , iShares U.S. Treasury Bond ETF (GOVT - Free Report) , iShares MSCI EAFE Growth ETF (EFG - Free Report) and iShares Core Total USD Bond Market ETF (IUSB - Free Report) dominated the top creation list last week.
U.S. equities lost their appeal on continued worries over the banking system. Shares of the Deutsche Bank (DB - Free Report) tumbled 24% last week and followed a steep rise in the cost of ensuring the bank’s debt against the risk of default. Deutsche’s credit default swaps reached over 220 basis points, the highest since late 2018. The German giant accelerated the banking sector turmoil, compelling investors to park their money in defensive sectors (read: ETF Winners & Losers from the Banking Crisis).
Meanwhile, the fixed-income market got a boost from the Fed’s decision. As expected, the Fed raised interest rates by 25 bps in the FOMC meeting, taking the range for the fed funds rate to 4.75-5%, the highest since October 2007. It signaled an end to interest rate increases as some additional policy firming may be appropriate to attain a stance of monetary policy that is sufficiently restrictive to return inflation to 2% over time.
We have detailed the ETFs below:
iShares Edge MSCI USA Quality Factor ETF (QUAL - Free Report)
iShares Edge MSCI USA Quality Factor ETF was the top asset creator last week, pulling in $6.6 billion in capital. It provides exposure to large and mid-cap stocks exhibiting positive fundamentals (high return on equity, stable year-over-year earnings growth and low financial leverage) by tracking the MSCI USA Sector Neutral Quality Index. QUAL holds 124 stocks in its basket, with each making up not more than 5.4% share.
With an AUM of $25.2 billion, iShares Edge MSCI USA Quality Factor ETF charges 15 bps of annual fees and trades an average daily volume of 1.6 million shares.
Invesco QQQ Trust (QQQ - Free Report)
Invesco QQQ saw an inflow of $4.3 billion in capital. It provides exposure to the 101 largest domestic and international non-financial companies listed on the Nasdaq by tracking the Nasdaq 100 Index. Invesco QQQ is heavily concentrated on the top two firms with a double-digit allocation, while other firms hold no more than 6.1% of assets. The product is also heavily tilted toward information technology at 49.4%, while communication services and consumer discretionary round off the next two spots (read: Filling ETFs in March Madness "Final Four" Brackets).
Invesco QQQ is one of the largest and most popular ETFs in the large-cap space, with AUM of $168.1 billion and an average daily volume of 56 million shares. QQQ charges investors 20 bps in annual fees and has a Zacks ETF Rank #2 (Buy) with a Medium risk outlook.
iShares U.S. Treasury Bond ETF (GOVT - Free Report)
iShares U.S. Treasury Bond ETF gathered $2.9 billion in capital. It offers exposure to the broad U.S. Treasury market with treasuries ranging from 1-30 year maturities by tracking the IDC US Treasury Core Index. With AUM of $25.4 billion, iShares U.S. Treasury Bond ETF holds 137 bonds in its basket with a weighted maturity of 7.82 years and an effective duration of 6.20 years.
iShares U.S. Treasury Bond ETF charges investors 5 bps in fees per year and trades in average daily volume of 13.2 million shares. It has a Zacks ETF Rank #3 (Hold) with a Medium risk outlook.
iShares MSCI EAFE Growth ETF (EFG - Free Report)
iShares MSCI EAFE Growth ETF has pulled in $1 billion in capital, taking its total AUM to $12.2 billion. It offers exposure to a broad range of companies in Europe, Australia, Asia, and the Far East whose earnings are expected to grow at an above-average rate relative to the market. iShares MSCI EAFE Growth ETF follows the MSCI EAFE Growth Index and holds 424 stocks in its basket. Japanese firms make up for 21.5% of the portfolio, while France, Switzerland and United Kingdom round off the next three spots with double-digit exposure each.
iShares MSCI EAFE Growth ETF charges 36 bps in annual fees and trades in an average daily volume of 983,000 shares. It has a Zacks ETF Rank #4 (Sell) with a Low risk outlook.
iShares Core Total USD Bond Market ETF (IUSB - Free Report)
iShares Core Total USD Bond Market ETF has pulled in $969 million in capital, taking its total AUM to $21.8 billion. It offers exposure to potentially higher-yielding bonds not included on the Bloomberg U.S. Aggregate Bond Index. iShares Core Total USD Bond Market ETF tracks the Bloomberg U.S. Universal Index and holds 15,010 stocks in its basket. From an industrial look, Treasury, MBS Pass-Through and Industrial take a double-digit exposure each (read: Junk Bond ETFs Appear in Trouble Due to Banking Crisis).
iShares Core Total USD Bond Market ETF charges 6 bps in annual fees and trades in an average daily volume of 2.6 million shares.