European and US multi-factor ETFs have seen a surge of inflows in recent months as the western world equity rally shows no sign of abating and investors are keen to avoid market timing.
Equity and bond ETFs in the US barely reacted to two big pieces of market news over the last week, although industry experts have pointed to possible movement of municipal bond ETFs.
Investors have ploughed more than $1.6 billion into socially responsible ETFs over the last year, prompting industry commentators to predict that SRI and ESG (environmental, social and governance) ETFs will become the mainstream.
As the Trump rally continues to widen the gap between US and ex-US valuations, ETF investors are flocking to cheaper exposures abroad.
Low volatility ETFs are gaining renewed attention from investors this summer despite good performance from non-defensive sectors.
ETFs saw record inflows of $247 billion in the first half of the year, pushing assets under management to $2.971 trillion and concluding almost 16 consecutive months of positive inflows.