Convertibles Lead as Ultrashort Duration Gathers $7B

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Weekly Channel Summary

Total AUM for the FI: Taxable channel stands at $2.15 Trillion across 675 ETFs from 139 issuers. Over the past 5 days, the channel saw strong net inflows totaling $13.06 billion. This recent momentum adds to a robust year-to-date haul of $136.89 billion, driving the 1-year flow figure to an impressive $434.09 billion.

This Week’s Performance Leaders and Laggards

The Convertible bond segment led the way this week with a solid 0.84% gain, pushing its YTD return to 3.45%. Conversely, Long-Term fixed income was the primary laggard, dropping -2.28% over the past 5 days, which dragged its YTD performance down to -1.51%.

Category Performance Snapshot

Category WTD 1 Month 3 Month 6 Month YTD 1 Year
Convertible 0.84% -1.67% 2.44% 3.09% 3.45% 32.55%
Bank Loans 0.07% -1.22% -1.08% -0.38% -1.40% 3.42%
Government Ultrashort 0.04% 0.21% 0.85% 1.88% 0.66% 4.05%
Ultrashort -0.05% -0.05% 0.80% 1.95% 0.54% 4.77%
Government Short -0.25% -0.37% 0.50% 1.34% 0.22% 4.10%
Short-Term -0.43% -0.60% 0.51% 1.42% 0.17% 4.99%
Inflation Protected -0.51% -0.37% 0.76% 0.41% 0.69% 4.53%
Securitized -0.56% -0.88% 1.00% 1.93% 0.53% 5.88%
International USD -0.60% -1.00% 0.28% 0.72% -0.03% 3.80%
High Yield -0.70% -1.28% 0.05% 0.86% -0.48% 6.75%
Government Intermediate -0.76% -1.24% 0.27% 0.61% -0.08% 4.31%
Multisector Taxable -0.81% -1.56% 0.16% 0.71% -0.29% 5.12%
Emerging USD -0.89% -2.01% 0.41% 2.49% -0.19% 9.76%
Core -0.90% -1.39% 0.34% 0.73% -0.09% 4.81%
Emerging -0.91% -2.42% 0.49% 2.29% -0.34% 9.99%
Core Enhanced -0.92% -1.47% 0.36% 0.76% -0.09% 5.11%
Preferred Stock -0.94% -1.80% 0.11% -0.07% -0.15% 5.63%
Corporate -1.35% -2.03% -0.42% -0.30% -0.84% 5.12%
International -1.54% -3.79% -1.25% -1.42% -1.64% 6.19%
Government Long -2.01% -2.97% 0.05% -1.41% -0.40% 0.74%
Long-Term -2.28% -3.55% -1.00% -1.96% -1.51% 3.66%

Top & Bottom 5 ETFs by Weekly Performance

The single best-performing ETF this week was the Calamos Convertible Equity Alternative ETF (CVRT) at 1.50%. On the other end of the spectrum, the PIMCO 25+ Year Zero Coupon US Treasury Index Exchange-Traded Fund (ZROZ) and the iShares 25+ Year Treasury STRIPS Bond ETF (GOVZ) were the worst performers, falling -3.56% and -3.53% respectively.

Ticker Fund Name WTD Performance
Top Performers
CVRT Calamos Convertible Equity Alternative ETF 1.50%
ICVT iShares Convertible Bond ETF 1.41%
BMAX REX Bitcoin Corporate Treasury Convertible Bond ETF 1.11%
CWB State Street SPDR Bloomberg Convertible Securities ETF 0.86%
RCLY Reckoner BBB-B CLO Annual ETF 0.80%
Bottom Performers
ZROZ PIMCO 25+ Year Zero Coupon US Treasury Index Exchange-Traded Fund -3.56%
GOVZ iShares 25+ Year Treasury STRIPS Bond ETF -3.53%
EDV Vanguard Extended Duration Treasury ETF -3.29%
VPC Virtus Private Credit Strategy ETF -3.07%
LKOR FlexShares Credit-Scored US Long Corporate Bond Index Fund -2.65%

Analyzing the Weekly Flows

The FI: Taxable channel gathered $13.06 billion in net inflows this week. Government ETFs led the segments with $9.30 billion in new money, while Investment Grade credit dominated the credit type category with $15.66 billion. On the duration front, Ultrashort funds were the clear winners, attracting $7.16 billion. Conversely, High Yield credit experienced the most significant outflows across all tables, shedding $2.56 billion.

Flows by Segment

Segment Fund Count AUM 5 Day Flow 30 Day Flow 90 Day Flow YTD Flow 1 Year Flow
FI: Government 118 $673.4B $9,295M $42,724M $64,729M $57,739M $149,987M
FI: Multi-Sector 279 $894.1B $4,186M $21,584M $72,872M $60,360M $210,026M
FI: Securitized 40 $104.3B $187M $940M $3,123M $2,410M $17,008M
FI: Cat Bonds 1 $0.1B $4M $7M $24M $17M $51M
FI: Corporate 164 $381.8B -$64M $2,307M $13,859M $13,417M $49,600M
FI: Preferred Stock 25 $40.1B -$69M $417M $644M $490M $2,055M
FI: Bank Loans 44 $59.7B -$486M -$1,685M $2,832M $2,450M $5,358M

Flows by Credit Type

Credit Type Fund Count AUM 5 Day Flow 30 Day Flow 90 Day Flow YTD Flow 1 Year Flow
Credit: Investment Grade 350 $1,733.5B $15,662M $63,231M $132,271M $117,225M $340,096M
Credit: Blend 168 $240.5B -$49M $8,277M $28,119M $23,153M $78,181M
Credit: High Yield 152 $179.3B -$2,560M -$5,220M -$2,326M -$3,508M $15,687M

Flows by Duration

Duration Fund Count AUM 5 Day Flow 30 Day Flow 90 Day Flow YTD Flow 1 Year Flow
Duration: Ultrashort 132 $432.6B $7,158M $33,782M $54,854M $50,613M $119,472M
Duration: Intermediate 398 $1,245.1B $5,640M $25,270M $85,120M $71,638M $254,945M
Duration: Short 84 $280.5B $1,160M $4,230M $16,348M $13,681M $49,178M
Duration: Long 56 $195.1B -$905M $3,006M $1,742M $937M $10,369M

Top & Bottom 5 ETFs by 5-Day Flow

The iShares U.S. Treasury Bond ETF (GOVT) was the clear leader for inflows, bringing in $3.45 billion. Conversely, the iShares JP Morgan USD Emerging Markets Bond ETF (EMB) and the iShares Broad USD High Yield Corporate Bond ETF (USHY) saw the largest outflows, shedding $1.60 billion and $745 million, respectively.

Ticker Fund Name 5-Day Flow
Inflows
GOVT iShares U.S. Treasury Bond ETF $3,449M
IQMM ProShares GENIUS Money Market ETF $2,627M
LQD iShares iBoxx $ Investment Grade Corporate Bond ETF $1,954M
SGOV iShares 0-3 Month Treasury Bond ETF $1,934M
BIL State Street SPDR Bloomberg 1-3 Month T-Bill ETF $1,044M
Outflows
EMB iShares JP Morgan USD Emerging Markets Bond ETF -$1,603M
USHY iShares Broad USD High Yield Corporate Bond ETF -$745M
JNK State Street SPDR Bloomberg High Yield Bond ETF -$635M
TLT iShares 20+ Year Treasury Bond ETF -$455M
TLH iShares 10-20 Year Treasury Bond ETF -$444M

Issuer League Table Update

iShares and Vanguard maintain their dominance at the top of the issuer leaderboard, commanding 37.14% and 26.42% of the market share, respectively. iShares was also the top asset gatherer for the week with $5.27 billion in inflows, while Xtrackers experienced the largest weekly outflows at -$222 million.

Top 5 Issuers by AUM

Brand Fund Count AUM AUM Market Share
iShares 87 $799.88B 37.14%
Vanguard 30 $568.94B 26.42%
SPDR 38 $164.33B 7.63%
JPMorgan 19 $82.48B 3.83%
Schwab 12 $72.80B 3.38%

Top & Bottom 3 Issuers by 5-Day Flow

Brand 5-Day Flow
Inflows
iShares $5,266M
ProShares $2,627M
Vanguard $1,654M
Outflows
Xtrackers -$222M
Janus Henderson -$145M
BondBloxx -$108M

For a deeper dive into these trends, access our FREE, in-depth Taxable ETF reports in the right side panel of this page.

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.