EQ Specialty ETFs See Continued Inflows Despite Slight Performance Pullback

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Weekly Channel Summary

The EQ: Specialty channel encompasses 79 ETFs across 54 unique brands, managing a combined $15.6 billion in Assets Under Management (AUM). Flow activity remained positive this week, with the channel bringing in $44 million in net new assets over the past five days. This steady short-term momentum builds on longer-term interest, lifting Year-to-Date (YTD) inflows to $1.12 billion and trailing one-year flows to an impressive $3.50 billion.

This Week’s Performance Leaders and Laggards

Both underlying categories within the Specialty channel experienced a slight pullback this week. The Equity: Specialty – Hedged category performed relatively better, though still in the red, with a -1.70% Week-to-Date (WTD) return. The Equity: Specialty – Long | Short category lagged slightly with a -1.85% WTD drop. Despite recent struggles, the Long | Short segment maintains a positive 2.61% YTD return.

Category Performance Snapshot

Category WTD 1 Month 3 Month 6 Month YTD 1 Year
Equity: Specialty – Hedged -1.70% -1.71% -0.43% 4.28% -0.11% 14.09%
Equity: Specialty – Long | Short -1.85% -1.02% 3.26% 5.28% 2.61% 10.42%

Top & Bottom 5 ETFs by Weekly Performance

Looking at specific products, the SHRT (Gotham Short Strategies ETF) achieved the best performance with a 5.92% gain on the week. Conversely, the deepest pullbacks were felt by HELS (Hedgeye 130/30 Equity ETF) and CTEF (Castellan Targeted Equity ETF), plunging -7.09% and -6.88% respectively.

Ticker Fund Name WTD Performance
Top Performers
SHRT Gotham Short Strategies ETF 5.92%
AINT FINQ DOLLAR NEUTRAL U.S. Large Cap AI-Managed Equity ETF 4.58%
NLSI NEOS Long/Short Equity Income ETF 3.94%
BTAL AGF U.S. Market Neutral Anti-Beta Fund 3.62%
HFSP TradersAI Large Cap Equity & Cash ETF 2.95%
Bottom Performers
HELS Hedgeye 130/30 Equity ETF -7.09%
CTEF Castellan Targeted Equity ETF -6.88%
AAVM Alpha Architect Global Factor Equity ETF -6.69%
LSEQ Harbor Long-Short Equity ETF -6.64%
MEMA Man Active Emerging Markets Alternative ETF -6.57%

Analyzing the Weekly Flows

The overall channel netted positive inflows totaling $44 million. The clear leader in capital gathering was the Equity: Specialty – Long | Short category, attracting $52 million across its $4.6 billion base. On the other hand, the much larger Equity: Specialty – Hedged category (which boasts $11.0 billion in AUM) failed to find traction and leaked $8 million to net outflows.

Category Flows Summary

Category Fund Count AUM 5 Day 30 Day 90 Day YTD 1 Year
Equity: Specialty – Long | Short 27 $4.6B $52M $249M $701M $629M $974M
Equity: Specialty – Hedged 52 $11.0B -$8M $158M $860M $489M $2,523M

Top & Bottom 5 ETFs by 5-Day Flow

Drilling into the individual fund level, HELO (JPMorgan Hedged Equity Laddered Overlay ETF) took the crown with $37 million in fresh cash over the past week. Suffering the sharpest redemptions were TOS (Twin Oak Strategic Solutions ETF) and PRAE (PlanRock Alternative Growth ETF), which logged outflows of $39 million and $26 million respectively.

Ticker Fund Name 5-Day Flow
Inflows
HELO JPMorgan Hedged Equity Laddered Overlay ETF $37M
ORR Militia Long/Short Equity ETF $32M
CAOS Alpha Architect Tail Risk ETF $17M
FHEQ Fidelity Hedged Equity ETF $15M
HEFT Hedgeye Fourth Turning ETF $9M
Outflows
TOS Twin Oak Strategic Solutions ETF -$39M
PRAE PlanRock Alternative Growth ETF -$26M
PHEQ Parametric Hedged Equity ETF -$6M
HEGD Swan Hedged Equity US Large Cap ETF -$6M
HEQT Simplify Hedged Equity ETF -$5M

Issuer League Table Update

JPMorgan dominates the specialty space, holding the top market share position at 26.75%, distantly trailed by First Trust at 13.92%. The momentum firmly belonged to JPMorgan this week as they captured $37 million in fresh assets. Conversely, Twin Oak felt the heaviest redemption pressure, logging outflows of $38 million.

Top 5 Issuers by AUM

Brand Fund Count AUM AUM Market Share
JPMorgan 3 $4.17B 26.75%
First Trust 1 $2.17B 13.92%
Fidelity 2 $0.87B 5.55%
Simplify 5 $0.64B 4.13%
Alpha Architect 2 $0.63B 4.04%

Top & Bottom 3 Issuers by 5-Day Flow

Brand 5-Day Flow
Inflows
JPMorgan $37M
Militia $32M
Alpha Architect $17M
Outflows
Twin Oak -$38M
PlanRock -$26M
Parametric -$6M

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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.