ETFLogic Weekly Update 3/22

Welcome to ETFLogic’s Weekly Newsletter!

In the spirit of March Madness,  ETFLogic is introducing a new twist on the  NCAA Sweet Sixteen Tournament.   We have assigned ETFs to each of the 16 remaining teams based on ETFs that have exposure to “themes, sectors, companies” that one may associate with the school / state (making sure 16 different Issuers). 

For example, when you think of Kentucky, you may associate the Kentucky Derby which is held at Church Hill Downs Race Track (CHDN).  The ETF with the largest exposure to CHDN is Invesco S&P MidCap 400 Pure Growth ETF (RFG).  

Click here to learn more and play

One Week Trends

US Listed ETFs - Equity Baskets - 1 Week Best & Worst Returns

Gold and Silver were the clear winner last week, with RING, SGDM, GOAU, GDX, SGDJ, SLVP, SIL, GDXJ, and SILJ taking 9 out of 10 of the top return slots last week.  This comes as investors across the globe may be fearing a sharp economic slowdown.

ETFs with exposure to Regional Banks and Brazil  were at the bottom.  

US Listed ETFs - Equity Baskets - 1 Week Best & Worst Returns

Long duration Treasury and Corporate ETFs were at the top of this weeks Fixed Income inflows.  Interest Rate Hedged and Convertible Bond ETFs were this weeks biggest losers.

US Listed ETFs - Equity Baskets - 1 Week Inflows & Outflows

A lot more outflows than inflows last week in Equity ETFs.  

Inflows led by IEFA, iShares Core MSCI EAFE.  Outflows led by Vanguard Mid-Cap and Value ETFs, VO and VTV.  

US Listed ETFs - Fixed Income Baskets - 1 Week Inflows & Outflows

Majority of flows into iShares Investment Grade and High Yield Corporate Bond ETFs.   Longer Term Treasury Bond and Senior Loan ETFs experienced most outflows.

On-Screen Liquidity Momentum
Top 10 secondary-market volume increases where ADV 5-day increased substantially over ADV 20-day and ADV 5-day > $10mm
New  Launches
  • Exchange Traded Concepts brought NETL, the NETLease Corporate Real Estate ETF to market. The fund seeks to bring investors ETF exposure to the unique and less highlighted Net Lease REIT Sector. The NET Lease REIT sector offers the potential for Income, Inflation Hedge and Growth.
  • Do we call them BlackRock or iShares?  Launched two new funds
    • An actively managed multifactor ETF, the BlackRock U.S. Equity Factor Rotation ETF, DYNF, 30bps
    • iShares Focused Value Factor ETF, FOVL, 25bps 
Changes
  • State Street announced several upcoming changes to their HY ETF lineup:
    • JNK, SPDR Bloomberg Barclays High Yield Bond ETF
      • Will undergo a 1:3 reverse stock split
      • Creation unit size will be reduced from 500,000 shares to 200,000 shares
      • Effective Date: 5/6/19
    • CJNK, SPDR ICE BofAML Crossover Corporate Bond ETF
      • Will change its benchmark to the ICE BAML US High Yield Index and be renamed the SPDR ICE BofAML Broad High Yield Bond ETF
      • Will also lower its TER from 30bps to 15bps, which would make it the HY fund with the lowest expense ratio in the marketplace
      • Effective Date: 4/1/19