Strong Equity ETF Inflows Highlight Growth and Broad Market Appetite

Date: 2025-12-01 The Weekly Report's Time Range: 11.24-11.28

Market Overview

This week’s fund flows reflect a clear preference for large-cap equity exposure and thematic allocations to growth and emerging markets.

The top 10 ETFs by inflow are dominated by large-cap equity funds and growth-oriented strategies, suggesting that investors are maintaining or increasing positions in broad U.S. equity benchmarks and growth equities. Emerging markets also saw strong inflows, indicating continued interest in international equities despite the generally cautious tone of bond and short-duration treasury ETFs, which saw weaker inflow performance. The relatively modest inflows into gold ETFs, despite the strong performance of GLD, may point to niche thematic or defensive positioning among a subset of investors.

ETF Highlights

IEMG - iShares Core MSCI Emerging Markets ETF With a 28.49% YTD performance and $116.98B in AUM, the iShares Core MSCI Emerging Markets ETF attracted significant inflows this week, suggesting renewed interest in emerging market equities. The scale of the inflow indicates strong investor appetite for international growth and diversification.

IWF - iShares Russell 1000 Growth ETF The iShares Russell 1000 Growth ETF, with a 18.64% YTD return and $125.54B in AUM, saw robust inflows, reflecting continued demand for growth-oriented U.S. equities. The inflow could suggest investor optimism toward growth sectors and long-term capital appreciation.

IVV - iShares Core S&P 500 ETF The iShares Core S&P 500 ETF, with a 16.68% YTD performance and a massive $732.60B in AUM, attracted strong inflows this week. The size of the inflow highlights ongoing demand for broad U.S. equity exposure and indicates a preference for market-cap weighted large-cap strategies.

HYG - iShares iBoxx $ High Yield Corporate Bond ETF With a 2.98% YTD return and $18.39B in AUM, the iShares iBoxx $ High Yield Corporate Bond ETF received moderate inflows. The inflow could suggest continued appetite for higher-yielding fixed income, possibly in search of income in a low-yield environment.

SGOV - iShares 0-3 Month Treasury Bond ETF The iShares 0-3 Month Treasury Bond ETF, with a 0.35% YTD return and $64.67B in AUM, saw a modest inflow. The relatively weak performance and inflow may reflect cautious positioning or a preference for short-term, low-risk cash alternatives.

RSP - Invesco S&P 500 Equal Weight ETF With a 9.30% YTD return and $73.92B in AUM, the Invesco S&P 500 Equal Weight ETF saw inflows, which could suggest investor interest in a more diversified version of the S&P 500, possibly as an alternative to traditional cap-weighted benchmarks.

VOO - Vanguard S&P 500 ETF With a 16.63% YTD return and $823.20B in AUM, the Vanguard S&P 500 ETF attracted solid inflows. The strong inflow, despite the fund’s massive size, indicates a continued preference for S&P 500 exposure and passive investing strategies.

SCHO - Schwab Short-Term U.S. Treasury ETF With a 1.54% YTD return and $12.37B in AUM, the Schwab Short-Term U.S. Treasury ETF saw a small inflow. The inflow may reflect short-term money management needs or flight to safety in a low-yield environment.

GLD - SPDR Gold Shares With a 60.19% YTD performance and $140.83B in AUM, the SPDR Gold Shares ETF attracted strong inflows, possibly indicating niche thematic positioning in gold or defensive positioning. The inflow may also suggest investor interest in precious metals as a hedge or alternative store of value.

IWM - iShares Russell 2000 ETF With a 12.58% YTD return and $72.48B in AUM, the iShares Russell 2000 ETF received inflows, which could suggest investor confidence in small-cap equities as a complement to large-cap strategies and broader equity market exposure.

Notable Trends / Surprises

The top 10 ETFs highlight a strong preference for large-cap and growth-oriented U.S. equities, with both IVV and VOO attracting significant inflows. The iShares Core MSCI Emerging Markets ETF (IEMG) stands out as a major international exposure draw, suggesting a continued appetite for global diversification. The relatively modest inflows into short-term treasury and gold ETFs may signal a mix of defensive and thematic positioning among a subset of investors.

Conclusion

The week’s inflows indicate a strong preference for U.S. equity exposure, particularly in large-cap and growth sectors, with notable inflows also into emerging markets and small-cap equities. The inflow pattern could suggest investor confidence in long-term capital appreciation and diversification strategies, while the modest inflows into short-term treasuries and gold highlight a more cautious or thematic approach.