Tech ETFs Bleed Billions as Investors Shift Gears

Major ETFs See Mixed Weekly Flows as Tech and Crossover Funds Face Pressure Date: 2026-02-15 The Weekly Report's Time Range: 2.09-2.13

Market Overview

This week saw mixed net outflows across major ETFs, with tech, health care, and China-focused funds showing notable trends. Large-cap S&P 500 proxies continued to face modest outflows, while leveraged and niche products like the semiconductor and crossover ETFs attracted particular attention due to their performance and flow movements. Treasury bond funds added to their YTD gains, showing continued interest in long-dated fixed income. The cumulative outflows could indicate a shift in investor sentiment or reallocation within asset classes, though specific triggers remain unspecified.

ETF Highlights

The Invesco QQQ Trust (QQQ) experienced a net outflow of $4.90B for the week. With a YTD performance of -2.02% and AUM of $393.16B, the fund remains one of the largest in the index but continues to face pressure. The outflow may indicate a temporary reallocation away from large-cap growth tech stocks.

The State Street SPDR S&P 500 ETF Trust (SPY) recorded a net outflow of $3.29B. Despite its YTD performance of -0.02% and AUM of $702.50B, the fund continues to be a top choice for broad U.S. equity exposure. The weekly outflow might reflect ongoing investor caution or tactical rebalancing.

The iShares Core S&P 500 ETF (IVV) had a net outflow of $2.47B. With a YTD performance of -0.03% and AUM of $749.21B, the fund remains a core holding for index investors. The outflow could suggest some level of strategic portfolio adjustment within passive strategies.

The Direxion Daily Semiconductor Bull 3X Shares (SOXL) saw a net outflow of $1.40B. Its YTD performance of 53.68% and AUM of $12.57B highlight its volatile nature. The large outflow might reflect risk management by investors amid heightened volatility in the leveraged semiconductor space.

The iShares 20+ Year Treasury Bond ETF (TLT) had a net outflow of $848.49M. With a YTD performance of 2.94% and AUM of $45.22B, the fund continues to benefit from bond market performance. The outflow might indicate a modest shift in interest in long-term fixed-income exposure.

The State Street Technology Select Sector SPDR ETF (XLK) saw a net outflow of $790.74M. Despite a YTD performance of -3.06% and AUM of $87.94B, the fund remains a significant player in the tech sector. The outflow may reflect ongoing sector rotation or caution among investors.

The State Street Health Care Select Sector SPDR ETF (XLV) recorded a net outflow of $461.41M. Its YTD performance of 1.85% and AUM of $41.68B suggest a mixed reception in the sector. The outflow could reflect a temporary pullback or reallocation within health care assets.

The ERShares Private-Public Crossover ETF (XOVR) had a net outflow of $390.00M. Despite a YTD performance of -14.05% and AUM of $1.35B, the fund remains a niche but volatile product. The outflow might indicate a shift in investor appetite for crossover assets amid market corrections.

The SPDR Portfolio S&P 500 ETF (SPYM) experienced a net outflow of $384.73M. With a YTD performance of -0.02% and AUM of $105.50B, the fund continues to serve as a core S&P 500 proxy. The outflow could suggest ongoing tactical adjustments within core equity positions.

The KraneShares CSI China Internet ETF (KWEB) had a net outflow of $368.08M. With a YTD performance of -3.70% and AUM of $7.50B, the fund reflects the ongoing volatility in China’s internet sector. The outflow might indicate a cautious stance or reallocation away from Chinese internet stocks.

Notable Trends / Surprises

The largest net outflows were concentrated in large-cap equity and leveraged sector ETFs, particularly in the tech space. In contrast, the health care sector saw relatively modest outflows despite a positive YTD performance. The continued outflows from China Internet (KWEB) and crossover (XOVR) products may reflect shifting investor sentiment toward niche and volatile segments.

Conclusion

This week’s flows highlight a mix of investor behavior across core and niche ETF categories. While large-cap equity and tech funds face ongoing outflows, Treasury and health care funds show varied performance. Investors may be recalibrating their exposure to high-growth and leveraged products while maintaining a focus on defensive and core assets.