You're watching...

Invasion of the ETFs

Details

  • Description

    Seana Smith on first quarter record set by ETF inflow

  • Duration 5:58
  • Date

Clips

Also in this playlist...

Mutual Funds and ETFs

Auto-advance: ON

Auto-advance

Transcript

This transcript is automatically generated

We ended the first quarter man oh man it was -- -- and a -- actually cool things happened in the first quarter and mutual fund world.

We talked about the invasion of the ETS Shawna Smith is here with us right now she's got more -- on that what happened in the first quarter.

He really was the -- of the ETF was net realized we saw record breaking all across the board globally each yes attracted 67 billion dollars.

That's 50% up from its previous out quarter of first quarterly.

Back and we -- right here and eat less and attracted 5354.

Billion -- -- that's.

Women double what the record was last year so we're seeing significant amount of inflow really planes these ET -- Investors are coming up the sidelines.

-- -- about the market rally the S and he was up 12% so far in the first quarter solar -- seeing significant amount and while.

It CEOs equity sector and as -- a few other sector as a share.

Good to hear that we're seeing them come into equities because we still seeing influx into bond funds.

And that makes me nervous that people and I this kind of a defense mechanism Paris and the -- is out.

We are wow are -- -- -- -- -- -- -- a lot going into the fixed income.

Percent to as the house that was actually one of the top.

Outperform as a share it.

Add it added sixteen billion dollars which is more than doubled inflows -- in the first quarter of 2011 is there's a lot of investors who -- can -- -- the defensive angle and seen opportunity now that the yields are rising name.

See it that -- any kind of get into the get into that fixed income markets we're seeing.

-- ton of money falling into that space and then an addition to fixed income emerging markets is also showing huge reversal.

From out one year ago the first quarter of 2001 and -- six point seven billion dollars flowing out of that factor.

First quarter out 2000 -- that they share.

We saw eleven point five billion dollars pour into it which is that 200 and I -- banks and sound.

From the fourth quarter and also a lot of people are getting much front common in the emerging markets -- opportunity over there.

I mean there's always wary about.

Overseas there's a lot of funds and things that really in China they have that -- -- -- seeing a lot of possibility a lot of -- -- India and Brazil on from the other right usually Vietnam and has generally been hearing about all those emerging -- so that that you have the vanguard.

Emerging markets ETF as well CI shares in both filed the Morgan Stanley exchange made it yes and -- both.

Significantly and then I detected six point four for a billion dollars in the first quarter iShares attracted two point 69 million dollars last they've both have very similar toppling Samsung China alone law.

They'd established wells catalyst companies -- your.

Going into my GMAC gets the -- a little bit of a conference Ghana I'm very cheap they're -- -- -- -- is the cheapest.

Available.

Past said.

Passive approach to -- kind of tax and -- and I really and a experienced increase about two million -- a lot of investors are nervous about what the hemorrhaging markets.

And also its market cap -- so that's why we have.

That think well there's like Samsung really dominating the fund's holdings I think it's really interesting actually that we saw this quick turnaround in the emerging market yeah.

Right is it cannot leave -- here I want my second it did -- bet you know I think -- kind of explodes at the end of the -- it's hard to sell off a lot of people followed an hour.

Regaining momentum is starting right here -- last not keep our feeling work until kind of taking -- seeing a lot of possibility here in continental in a little bit more risk abroad and seeing opportunities overseas goes to the story that you can bring you keep bringing to us about that you know the emergence of the ETS and in.

All this money coming out of mutual funds got to go into ETS react I mean it's -- difference than myself and industry as I think it's like.

Ten million I've -- that ETF is only at about one point tip -- significant -- any.

-- -- -- -- -- Financial and she is as saying that -- yes and we keep attracting the new money so investors are looking opinion I mean you Apogee is gonna go work towards ETF -- as.

Transplant transparency is very important now -- -- we're seeing -- this regulation coming down.

So they get -- attracted to kind of this new way new trends and we talked about last week 401K is not eight right ET asset there options to their plans so.

It's becoming more of the street me get my million know what is no other options out there -- seeing more inflows as handgun when things that you talked about as well -- many active remains needs of funds have not even be the indices -- he just -- seven NE TF that thousand NC.

You don't agree that managers who are not new money rate is that they and that's I mean.

Once I -- the manager is.

Kind of looking over the fund's managing and an out of the different companies and they aren't doing -- lining at -- -- something like eighty to 83% of the time.

Index on -- actively managed funds -- album.

I messrs.

I seen that had anything -- -- finally went -- six cents -- going incest.

Plays like the band island iShares.

And despite there is writers I'm back very cheap in that in this specific sectors I mean we see energy now -- Higher prices but again that's an investment -- they're scrambling to take that by -- They're seen as cheap rations more exposure to economy is that they when -- really at other times be able to get access to health.

Sell -- working in -- -- and you're seeing that flows increase over time.

China has come on the foxbusiness.com.

Website ETF inflows at first quarter record we don't have both been doing.

Didn't have fat area strapped on.

I think sit at a content you want more information -- I think it's great step really interesting trends -- -- when he got you know BlackRock and in the -- -- out now yeah I doubt that very well established -- is feel funds -- companies that.

The saddest and thousand mutual fund market and -- switching -- and providing -- -- cell C in LA at the end of the -- exact.

Before.