5 Most-Loved ETFs of Last Week

·5 min read

Last week, ETFs pulled in a whopping $26.6 billion in capital, pushing year-to-date inflows to $381.1 billion. U.S. equity ETFs led the way higher, accumulating $17.5 billion in inflows, closely followed by inflows of $8 billion for U.S. fixed-income ETFs and $1.6 billion for international fixed-income ETF, per etf.com.

As such, SPDR S&P 500 ETF Trust SPY, iShares 7-10 Year Treasury Bond ETF IEF, Vanguard Total Bond Market ETF BND, Invesco QQQ Trust QQQ and Vanguard S&P 500 ETF VOO dominated the top creation list last week.

The U.S. stock market logged in the fourth winning week in a row, with the tech-heavy Nasdaq Composite Index entering a new bull market. The slowdown in inflation last month brought much-needed relief to the stock market and perked up investor sentiment. The consumer price index jumped 8.5% year over year in July, down from a 9.1% year-over-year increase in June, which was the fastest increase since November 1981. This, coupled with recession fears, has spurred bets that the Fed could start lowering the pace of rate hikes (read: Nasdaq Enters Bull Market: ETFs to Tap the Rally).  

Additionally, U.S. consumer sentiment improved in August from a record low earlier this summer. The University of Michigan’s preliminary sentiment index rose to a three-month high of 55.1 from 51.5 in July.

We have detailed the ETFs below:

SPDR S&P 500 ETF Trust (SPY)

SPDR S&P 500 ETF Trust topped asset flow creation last week, gathering $6.7 billion in capital. It tracks the S&P 500 Index and holds 504 stocks in its basket, with each accounting for no more than 7.3% of assets. SPDR S&P 500 ETF Trust is heavy on the information technology sector, while healthcare, consumer discretionary, financials and communication services round off the next four spots with a double-digit allocation each (read: 5 Momentum ETFs That Offer Value).

SPDR S&P 500 ETF Trust charges investors 9 bps in annual fees and trades in an average daily volume of 68.4 million shares. It has AUM of $386.2 billion and a Zacks ETF Rank #3 (Hold) with a Medium risk outlook.

iShares 7-10 Year Treasury Bond ETF (IEF)

iShares 7-10 Year Treasury Bond ETF has accumulated $23.3 billion last week. It targets mid-cap U.S. Treasury bonds and tracks the ICE US Treasury 7-10 Year Index. With AUM of $23.3 billion, iShares 7-10 Year Treasury Bond ETF holds 12 bonds in its basket with weighted maturity of 8.53 years and an effective duration of 7.89 years.

iShares 7-10 Year Treasury Bond ETF charges investors 15 bps in fees per year and trades in an average daily volume of 7.9 million shares. It has a Zacks ETF Rank #4 (Sell) with a High risk outlook.

Vanguard Total Bond Market ETF (BND)

Vanguard Total Bond Market ETF gathered $1.3 billion in its asset base last week. It targets the broad U.S. investment grade bond market by tracking the Bloomberg Barclays U.S. Aggregate Float Adjusted Index. The product holds 10,121 securities in its basket with an average maturity and effective duration of 8.9 years and 6.7 years, respectively.

Vanguard Total Bond Market ETF is the largest bond ETF with AUM of $84 billion and an average daily volume of 6.4 million shares. It charges 3 bps in annual fees.

Invesco QQQ Trust (QQQ)

Invesco QQQ gathered about $1.3 billion in its asset. QQQ provides exposure to the 102 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 7% of assets. The product is also heavily tilted toward information technology at 50.8%, while consumer discretionary and communication services round off the next two spots.

Invesco QQQ is one of the largest and most popular ETFs in the large-cap space, with AUM of $179 billion and an average daily volume of 53.2 million shares. QQQ charges investors 20 bps in annual fees and has a Zacks ETF Rank #3 with a Medium risk outlook.

Vanguard S&P 500 ETF (VOO)

Vanguard S&P 500 ETF pulled in $1.3 billion in capital. It tracks the S&P 500 Index and holds 503 stocks in its basket. Vanguard S&P 500 ETF is heavy on the information technology sector, while healthcare, consumer discretionary and financials round off its next three spots with a double-digit allocation each (read: Follow Oppenheimer? Buy S&P 500 ETFs).

Vanguard S&P 500 ETF charges investors 3 bps in annual fees and trades in an average daily volume of 4.8 million shares. It has AUM of $278.9 billion and a Zacks ETF Rank #3 with a Medium risk outlook.


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Invesco QQQ (QQQ): ETF Research Reports
 
SPDR S&P 500 ETF (SPY): ETF Research Reports
 
iShares 710 Year Treasury Bond ETF (IEF): ETF Research Reports
 
Vanguard S&P 500 ETF (VOO): ETF Research Reports
 
Vanguard Total Bond Market ETF (BND): ETF Research Reports
 
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