Major Inflows Focused on Gold, Tech, and International Equities in the ETF Market

Date: 2025-12-29 The Weekly Report's Time Range: 12.22-12.26

Market Overview

Investor activity in the ETF market during the week of December 22-26 highlighted a mix of defensive and thematic positioning. Strong inflows into gold-backed ETFs and technology-focused vehicles suggest a dual strategy of capital preservation and growth-seeking exposure. Additionally, international equity and bond ETFs displayed a range of inflows, pointing to a possible rebalancing of global allocations.

While the scale of inflows into Treasury and small-cap ETFs was modest, the overall pattern could indicate a market reacting to shifting expectations around global risk and return. No single macroeconomic event appears to have driven the flows, but the data may reflect ongoing portfolio adjustments ahead of year-end or quarter-end portfolio reviews.

ETF Highlights

GLD - SPDR Gold Shares experienced the largest inflow of the week, with a 72.11% change. As a gold-tracking ETF, this movement may suggest heightened investor demand for safe-haven assets. The fund’s YTD inflow and $154.27B in AUM indicate that it remains a significant destination for capital seeking protection against market volatility.

QQQ - Invesco QQQ Trust, which tracks the Nasdaq-100, saw inflows of 22.04%. The fund’s focus on large-cap U.S. technology companies may reflect investor confidence in the sector. With $409.99B in AUM, the inflow could suggest ongoing allocation toward high-growth tech equities, despite the fund's size.

BNDX - Vanguard Total International Bond ETF recorded a modest outflow of -1.28%. As a global bond fund, the slight outflow may indicate a shift away from international fixed income during the week. With $73.80B in AUM, the move could reflect portfolio rebalancing or risk-off behavior.

TBIL - F/m US Treasury 3 Month Bill ETF saw a small inflow of 0.30%. As a short-term U.S. Treasury vehicle, the inflow may point to temporary cash positioning or yield-seeking activity. Given the fund’s relatively small AUM of $12.62B, the inflow could reflect tactical allocations by institutional or retail investors.

SLV - iShares Silver Trust experienced the second-largest inflow at 170.11%. The ETF tracks physical silver and could reflect a surge in demand for commodities amid macroeconomic uncertainty. The inflow into a $38.03B AUM fund may indicate renewed interest in precious metals as a hedge.

IWM - iShares Russell 2000 ETF saw a 13.79% inflow, indicating a possible focus on small-cap U.S. equities. Given the fund's $75.74B in AUM, the inflow may suggest a rotation toward smaller, potentially more growth-oriented names within the equity market.

IVV - iShares Core S&P 500 ETF recorded a 17.77% inflow. As a broad U.S. equity benchmark, the movement could indicate core portfolio rebalancing or passive allocation. With $768.61B in AUM, the inflow may represent a continuation of long-term indexing activity.

VXUS - Vanguard Total International Stock ETF saw a 28.71% inflow, pointing to increased exposure to non-U.S. equities. The fund’s $120.54B in AUM and the magnitude of the inflow could suggest a shift toward international markets in search of diversification or growth opportunities.

VWO - Vanguard FTSE Emerging Markets ETF recorded a 22.66% inflow. As an emerging markets equity vehicle, this could reflect growing optimism about frontier and developing economies. With $105.63B in AUM, the inflow might indicate a strategic tilt toward higher-growth markets.

VEA - Vanguard FTSE Developed Markets ETF experienced a 31.35% inflow, indicating strong appetite for developed international equities. The ETF, with $193.52B in AUM, could have attracted capital as a core component of diversified global portfolios, possibly reflecting demand for more stable markets.

Notable Trends / Surprises

Several trends stand out among the top 10 ETFs. Notably, commodities-related ETFs like GLD and SLV saw some of the largest inflows, suggesting a clear interest in precious metals. In parallel, strong inflows into VEO, VWO, and VXUS point to a general appetite for international equities, particularly in developed and emerging markets. Meanwhile, the Nasdaq-100 (QQQ) and Russell 2000 (IWM) both experienced inflows, indicating a possible diversification within U.S. equities. The modest inflow into the U.S. Treasury bill ETF (TBIL) contrasts with the outflow in BNDX, possibly reflecting tactical shifts in fixed-income strategies.

Conclusion

The week’s ETF inflows may indicate a strategic reallocation toward gold and international equities, while showing continued demand for U.S. technology and small-cap stocks. The outflow from international bond exposure contrasts with inflows into Treasury bills, possibly signaling a risk-aware shift in portfolio management. Collectively, the flows could point to a market balancing growth, diversification, and protection amid evolving market dynamics.