ETF Weekly Fund Inflow Report

Date: July 21, 2025
Headline: Risk-On Sentiment Drives Inflows to Equities and Crypto Sectors

Market Overview
Investor sentiment this week appears tilted toward growth-oriented assets, with fund flows favoring broad equity exposure, technology sectors, and crypto-linked products. The top 10 list is dominated by large-cap U.S. equity ETFs, including multiple S&P 500 trackers, alongside strong inflows into international equities and Bitcoin and Ethereum trusts. While macroeconomic context remains unclear, the performance and flow patterns suggest confidence in risk assets, possibly reflecting optimism around earnings resilience or accommodative policy expectations. Bonds and traditional sectors receive limited attention in the rankings, highlighting a rotation toward growth themes.

ETF Highlights
The iShares Ethereum Trust ETF (ETHA) attracted significant inflows, aligning with its 6.45% YTD gain and $8.77B in assets. As a direct play on Ethereum prices, its performance likely benefited from broader crypto market momentum, though its role as a speculative or hedging tool remains unclear without additional context. Similarly, the iShares Bitcoin Trust ETF (IBIT) surged 25.69% YTD, with $86.00B in AUM, underscoring renewed institutional and retail interest in Bitcoin as both an inflation hedge and a speculative asset.

Broad equity market exposure dominated the rankings, with the Vanguard Total Stock Market ETF (VTI, +6.65% YTD, $509.49B AUM) and S&P 500-focused peers like VOO (+7.07%, $701.81B), SPY (+7.08%, $647.57B), and IVV (+7.13%, $635.46B) all featuring prominently. These funds likely attracted capital as core holdings for diversified portfolios, with their massive AUM figures reflecting their status as benchmarks. The Technology Select Sector SPDR Fund (XLK, +12.20% YTD, $82.90B) further reinforced technology’s appeal, its strong YTD return potentially drawing sector rotation from defensive plays.

International equities also saw a niche but notable boost, with the iShares Core MSCI EAFE ETF (IEFA, +17.47% YTD, $142.19B) climbing the ranks. Its performance suggests appetite for developed market exposure outside the U.S., possibly as investors seek diversification amid domestic market megacap concentration. A surprise entrant was the FT Vest U.S. Equity Buffer ETF - July (FJUL, +7.50% YTD, $932.33M), a thematic product with a July expiration. Its inflow could reflect tactical positioning ahead of seasonal or event-driven strategies, though its smaller scale limits broader implications.

The iShares Broad USD High Yield Corporate Bond ETF (USHY, +1.44% YTD, $24.88B) rounded out the list, offering a modest fixed-income presence. Its relatively muted performance and inflow highlight continued caution in bond markets, though its inclusion suggests some demand for yield in a low-rate environment.

Notable Trends
The week’s data reveals a clear preference for growth assets, with crypto and tech sectors capturing significant attention. The coexistence of ETHA and IBIT in the top 10 signals growing acceptance of digital assets as tradable securities, while the dominance of S&P 500 ETFs points to a flight to liquidity and blue-chip stability. The strong showing of IEFA and FJUL also hints at a tactical rotation toward international diversification and event-driven strategies, albeit on a smaller scale.

Conclusion
This week’s inflows underscore a market leaning into growth and innovation, with equities and crypto serving as primary conduits for risk-on positioning. The scale of inflows into S&P 500 and total market ETFs suggests a preference for broad exposure, while crypto’s inclusion reflects evolving investor appetites. Collectively, these trends may indicate a search for both capital appreciation and diversification, though the absence of significant bond or sector-specific flows highlights continued caution outside core asset classes. Investors appear to be balancing long-term growth themes with short-term tactical opportunities, a duality that could shape near-term market dynamics.