Sector ETF Weekly: Comm Services Surges as Flows Favor Energy

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Weekly Channel Summary

The EQ: Sector & Industry channel currently oversees a massive $898.9B in assets under management across 269 ETFs managed by 56 different issuers. Over the past week, total flows remained essentially flat at $0.00B, reflecting underlying sector rotation rather than broad capital deployment. However, the longer-term trend remains positive, with the channel attracting $3.95B over the last 30 days, $24.37B year-to-date, and $43.19B over the past year.

This Week’s Performance Leaders and Laggards

Communication Services led the pack this week, posting a solid +5.29% WTD return, though the category remains down -5.81% YTD. On the flip side, Energy was the primary laggard, dropping -4.17% on the week, yet it continues to boast an impressive +32.29% return YTD.

Category Performance Snapshot

Category WTD 1 Month 3 Month 6 Month YTD 1 Year
Comm Services +5.29% -5.66% -5.35% -3.44% -5.81% +17.97%
Information Technology +4.64% -3.54% -1.67% +1.43% -0.11% +45.09%
Financials +4.23% -3.65% -5.71% -1.17% -5.09% +8.77%
Health Care +4.07% -5.16% -3.18% +6.10% -3.03% +15.68%
Materials +3.94% -5.37% +11.95% +17.49% +14.14% +31.18%
Industrial +3.82% -7.79% +4.88% +8.03% +7.08% +33.86%
Real Estate +3.51% -5.79% +2.42% +1.56% +2.69% +5.45%
Consumer Discretionary +2.74% -6.21% -6.49% -7.58% -6.56% +7.98%
Utilities +2.24% -1.20% +7.94% +6.80% +9.31% +20.04%
Consumer Staples +0.68% -6.90% +6.20% +4.56% +6.14% +1.29%
Energy -4.17% +5.18% +29.37% +36.25% +32.29% +38.03%

Top & Bottom 5 ETFs by Weekly Performance

The standout ETF this week was the WisdomTree Europe Defense Fund (WDEF), surging +10.78%. Conversely, the WEBs Energy XLE Defined Volatility ETF (DVXE) and the Strive U.S. Energy ETF (DRLL) faced sharp declines, dropping -9.31% and -5.64% respectively.

Ticker Fund Name WTD Performance
Top Performers
WDEF WisdomTree Europe Defense Fund +10.78%
DVXC WEBs Communication Services XLC Defined Volatility ETF +8.37%
EUAD Select STOXX Europe Aerospace & Defense ETF +7.98%
XBI State Street SPDR S&P Biotech ETF +7.91%
DVXF WEBs Financial XLF Defined Volatility ETF +7.04%
Bottom Performers
DVXE WEBs Energy XLE Defined Volatility ETF -9.31%
DRLL Strive U.S. Energy ETF -5.64%
LNGX Global X U.S. Natural Gas ETF -5.61%
XOP State Street SPDR S&P Oil & Gas Exploration & Production ETF -5.55%
FTXN First Trust Nasdaq Oil & Gas ETF -5.45%

Analyzing the Weekly Flows

Despite net flows being flat ($0.00B) for the channel overall, significant sector rotation was evident beneath the surface. Energy led the inflows, gathering +$2,135M to reach $71.8B in total AUM. Industrial funds also saw solid interest with +$277M in net new money. Meanwhile, Financials faced the heaviest redemptions, losing -$1,341M over the past five days.

Category Flows Summary

Category Fund Count AUM 5 Day 30 Day 90 Day YTD 1 Year
Energy 32 $71.8B +$2,135M +$4,725M +$11,837M +$11,831M +$5,357M
Industrial 28 $79.8B +$277M +$2,095M +$9,374M +$9,358M +$17,017M
Materials 10 $12.6B +$227M -$212M +$1,455M +$1,434M +$1,208M
Utilities 11 $40.6B +$168M +$1,311M +$448M +$352M +$4,960M
Real Estate 53 $84.3B +$163M +$543M +$1,036M +$883M +$5,334M
Comm Services 8 $31.9B -$39M -$1,846M -$2,448M -$2,443M +$688M
Health Care 32 $94.1B -$82M -$1,323M +$1,344M +$1,261M +$1,732M
Consumer Staples 13 $27.5B -$211M -$208M +$265M +$203M -$1,079M
Information Technology 33 $335.2B -$562M +$266M +$5,915M +$5,749M +$15,594M
Consumer Discretionary 15 $31.2B -$735M -$524M -$2,192M -$2,144M -$1,894M
Financials 34 $89.9B -$1,341M -$878M -$2,161M -$2,109M -$5,728M

Top & Bottom 5 ETFs by 5-Day Flow

The State Street Energy Select Sector SPDR ETF (XLE) was the biggest winner, hauling in +$969M. Conversely, the VanEck Semiconductor ETF (SMH) and the First Trust Nasdaq Bank ETF (FTXO) saw the largest outflows, shedding -$929M and -$733M respectively.

Ticker Fund Name 5-Day Flow
Inflows
XLE State Street Energy Select Sector SPDR ETF +$969M
FXN First Trust Energy AlphaDEX Fund +$742M
IGV iShares Expanded Tech-Software Sector ETF +$681M
XLK State Street Technology Select Sector SPDR ETF +$242M
XOP State Street SPDR S&P Oil & Gas Exploration & Production ETF +$119M
Outflows
SMH VanEck Semiconductor ETF -$929M
FTXO First Trust Nasdaq Bank ETF -$733M
XLY State Street Consumer Discretionary Select Sector SPDR ETF -$714M
XLP State Street Consumer Staples Select Sector SPDR ETF -$334M
IYW iShares U.S. Technology ETF -$329M

Issuer League Table Update

SPDR continues to dominate the space with a commanding 41.50% market share, followed by Vanguard at 24.59%. This week, iShares led all issuers in asset gathering with +$580M in net inflows, while VanEck experienced the steepest outflows, losing -$1,250M.

Top 5 Issuers by AUM

Brand Fund Count AUM AUM Market Share
SPDR 28 $373.04B 41.50%
Vanguard 12 $221.05B 24.59%
iShares 49 $146.48B 16.30%
VanEck 12 $47.42B 5.28%
Fidelity 12 $33.20B 3.69%

Top & Bottom 3 Issuers by 5-Day Flow

Brand 5-Day Flow
Inflows
iShares +$580M
SPDR +$572M
Fidelity +$90M
Outflows
VanEck -$1,250M
First Trust -$84M
Global X -$65M

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Disclosures

This material is for informational purposes only and should not be considered investment advice. All investments, including ETFs, involve risk, including the possible loss of principal. Investors should consider their investment objectives, risks, charges, and expenses carefully before investing.

This analysis was developed by the team at ETF Action. We leverage advanced AI tools to assist in the drafting and refinement of our content, based on our expert prompts, direction, and final review.