Semiconductor Flows Surge as Large Cap Blend Dominates

SPDR led all issuers with $8.32B in single-day inflows, extending a robust 5-day haul of $16.79B and a 30-day total of $33.67B, while Vanguard ($3.60B) and iShares ($3.55B) also posted multi-billion-dollar daily gains despite Vanguard’s 30-day flows sitting negative at ($9.56B). Direxion stood out among non-mega issuers with $1.33B in absolute inflows, driven heavily by leveraged semiconductor exposure, while GraniteShares suffered the largest non-mega outflow at ($1.60B) and the steepest relative decline at -15.05% of AUM, reflecting large redemptions across its leveraged single-stock lineup. DFA also saw notable absolute outflows of ($1.10B) despite a positive YTD total of $8.84B, and VanEck, JPMorgan, and Fidelity rounded out the laggards with smaller daily outflows. On the relative side, smaller issuers Russell Investments (likely reflecting a custom rebalance), SonicShares (10.62%), Timothy (8.98%), and Mango (7.19%) posted the strongest percentage gains relative to AUM.

Total flows across all asset classes reached $19.12B for the day, building on a 1-week total of $66.38B and a 30-day figure of $222.65B, with Equity dominating at $18.45B in daily inflows against a YTD total of $994.31B. Fixed Income added a modest $824.9M on the day but has accumulated $536.94B YTD, while Commodity, Alternative, and Multi-Asset categories posted small positive daily flows under $250M each. Non-Traditional and Digital Asset categories were the only negative daily movers, at ($67.6M) and ($393.1M) respectively, with Digital Asset also showing a negative 1-week total of ($753.8M). At the category level, Equity: U.S. Large Cap – Blend led with $9.70B in daily inflows, far outpacing Equity: U.S. Large Cap – Growth ($1.82B) and U.S. Small Cap – Blend ($1.76B), while Non-Traditional: Leverage | Inverse – Single Stock lagged with ($2.08B) and Fixed Income: Taxable – Government Long shed ($1.65B).

The State Street SPDR S&P 500 ETF (SPY) led U.S. size and style flows with $7.65B, followed by the iShares Russell 2000 ETF (IWM) at $2.22B and the Invesco QQQ Trust (QQQ) and Vanguard S&P 500 ETF (VOO) each adding $1.13B. On the outflow side, the U.S. High Relative Profitability Portfolio (DUHP) shed ($393.8M) and the U.S. Small Cap Portfolio ETF (DFAS) lost ($347.5M), with the State Street SPDR Dow Jones Industrial Average ETF Trust (DIA) also declining by ($309.3M).

The Avantis Emerging Markets Equity ETF (AVEM) topped ex-U.S. size and style flows with $390.7M, followed by the Schwab International Equity ETF (SCHF) at $371.6M and the iShares MSCI Emerging Markets ex China ETF (EMXC) at $274.3M. Outflows were comparatively minor, led by the Invesco Dorsey Wright Developed Markets Momentum ETF (PIZ) at ($12.5M) and the Xtrackers Bloomberg Developed Markets ex US Equity ETF (DMXU) at ($5.6M).

Sector flows were led by the iShares Expanded Tech-Software Sector ETF (IGV) at $446.5M and the iShares Semiconductor ETF (SOXX) at $363.6M, with the State Street Health Care Select Sector SPDR ETF (XLV) and Utilities Select Sector SPDR ETF (XLU) also gathering over $280M each. The VanEck Semiconductor ETF (SMH) posted the largest sector outflow at ($508.5M), notably diverging from the inflows seen in competing semiconductor products, while the State Street Industrial Select Sector SPDR ETF (XLI) and Financial Select Sector SPDR ETF (XLF) also saw outflows exceeding $130M.

The Franklin FTSE Taiwan ETF (FLTW) led regional flows with $328.2M, closely followed by the iShares MSCI Brazil ETF (EWZ) at $327.3M and the iShares MSCI South Korea ETF (EWY) at $238.7M. On the downside, the iShares MSCI Singapore ETF (EWS) lost ($87.5M) and the JPMorgan BetaBuilders Japan ETF (BBJP) declined ($38.5M).

Thematic flows were comparatively modest, with the VanEck Gold Miners ETF (GDX) leading at $91.9M and the Global X U.S. Infrastructure Development ETF (PAVE) adding $69.3M. The State Street SPDR S&P Metals & Mining ETF (XME) saw the largest thematic outflow at ($149.8M), followed by the Roundhill Memory ETF (DRAM) at ($100.8M), while the iShares U.S. Home Construction ETF (ITB) and State Street SPDR S&P Homebuilders ETF (XHB) also saw moderate declines.

Fixed Income inflows were spread across municipal and short-duration products, with the iShares National Muni Bond ETF (MUB) leading at $415.8M and the Vanguard Total Bond Market ETF (BND) adding $359.0M. The category’s largest outflow came from the iShares 20+ Year Treasury Bond ETF (TLT) at ($1.64B), consistent with the Fixed Income: Taxable – Government Long category’s daily decline of ($1.65B), while the Vanguard Tax-Exempt Bond ETF (VTEB) and iShares iBoxx $ High Yield Corporate Bond ETF (HYG) also posted outflows exceeding $500M.

Commodity flows totaled $249.7M for the day, driven by the iShares Silver Trust (SLV) at $256.1M and the abrdn Physical Silver Shares ETF (SIVR) at $33.3M. The United States Oil Fund LP (USO) saw the largest commodity outflow at ($46.0M), followed by SPDR Gold Shares (GLD) at ($37.5M), a contrast to the gains seen in silver-linked products.

Digital Asset flows were negative overall at ($393.1M) for the day and ($753.8M) over the past week, with outflows concentrated in the Fidelity Wise Origin Bitcoin Fund (FBTC) at ($152.7M), the iShares Bitcoin Trust ETF (IBIT) at ($110.9M), and the iShares Ethereum Trust ETF (ETHA) at ($109.8M). Smaller products saw modest inflows, led by the Grayscale Zcash Trust (ZCSH) at $3.7M and the Bitwise Bitcoin ETF Trust (BITB) at $2.2M.

The Non-Traditional category was roughly flat overall at ($67.6M) for the day despite a strong 1-week total of $8.46B, with the Direxion Daily Semiconductor Bull 3X ETF (SOXL) leading all funds with $1.36B in inflows and the Direxion Daily Semiconductor Bear 3X ETF (SOXS) adding $138.2M. The largest outflow came from the GraniteShares 2x Long NVDA Daily ETF (NVDL) at ($942.4M), while the GraniteShares 2x Long MU Daily ETF (MULL) ($290.9M), 2x Long PLTR Daily ETF (PTIR) ($196.8M), and 2x Long MRVL Daily ETF (MVLL) ($186.3M) all posted large redemptions (may be the result of a custom rebalance).

Recent launches have skewed toward niche and sector-specific products, including the State Street S&P 500 Energy (XLEM), Consumer Staples (XLPM), Technology (XLKM), and Consumer Discretionary (XLYM) Market Sector SPDR ETFs, each launching with AUM under $520K. Other notable entrants include the F/m Long-Term TIPS ETF (RTHY) with $25.2M in AUM, the Global X Asia Semiconductor ETF (ACHP), and the Tuttle Capital Photonics Income Blast ETF (OPTO) in the Non-Traditional: Synthetic Income – Equity category with $1.3M in assets.