LALT Inflows Boost Multi-Strategy as DBMF Leads Managed Futures Exodus

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Weekly Channel Summary

The Alternatives channel, comprising 48 ETFs from 27 issuers, currently holds $12.78 billion in assets under management. This past week, the channel attracted a net total of $95 million in new capital. This continues a positive trend for the year, with year-to-date inflows reaching $3.22 billion. Over the past twelve months, investors have allocated a total of $5.54 billion to the space.

This Week’s Performance Leaders and Laggards

Performance within the Alternatives channel was sharply divided by volatility strategies this week. Short Volatility funds led all categories with a 2.81% gain, continuing a positive trend that has seen the group rise 1.55% year-to-date. Conversely, Long Volatility strategies were the worst performers, falling by 7.82% for the week. This steep weekly decline extends the category’s year-to-date losses to a significant 25.73%.

Category Performance Snapshot

Category WTD 1 Month 3 Month 6 Month YTD 1 Year
Volatility – Short 2.81% 3.17% 19.46% 1.03% 1.55% 22.37%
Absolute Return – Managed Futures 0.24% -5.37% -3.31% 6.08% 6.38% 17.29%
Absolute Return – Event Driven -0.25% 0.11% 0.38% 1.68% 1.71% 4.02%
Absolute Return – Multi-Strategy -0.55% -1.18% 2.52% 5.43% 5.76% 15.21%
Volatility – Long -7.82% -13.02% -44.12% -24.14% -25.73% -62.99%

Top & Bottom 5 ETFs by Weekly Performance

Among individual funds, performance was led by products betting against market volatility. The -1x Short VIX Futures ETF (SVIX) posted the strongest return, gaining 5.60% for the week. At the other end of the spectrum, the Opportunistic Trader ETF (WZRD) experienced a substantial decline, falling 48.66%. Several other funds with long volatility exposure also finished among the bottom performers for the week.

Ticker Fund Name WTD Performance
Top Performers
SVIX -1x Short VIX Futures ETF 5.60%
SVXY ProShares Short VIX Short-Term Futures ETF 3.21%
ZVOL Volatility Premium Plus ETF 2.96%
SVOL Simplify Volatility Premium ETF 1.98%
VYLD Inverse Vix Short-Term Futures ETN 1.02%
Bottom Performers
WZRD Opportunistic Trader ETF -48.66%
UVIX 2x Long VIX Futures ETF -11.49%
UVXY ProShares Ultra VIX Short-Term Futures ETF -8.89%
VXX iPath Series B S&P 500 VIX Short-Term Futures ETN -6.45%
VIXY ProShares VIX Short-Term Futures ETF -6.15%

Analyzing the Weekly Flows

Investors added a net $95 million to the Alternatives channel over the past week, though flows were concentrated in specific areas. The Absolute Return – Multi-Strategy category was the clear favorite, attracting $219 million in new assets. In contrast, the largest category by assets, Absolute Return – Managed Futures, saw the most significant redemptions, with investors pulling $131 million. This divergence highlights a shift in investor preference within the absolute return space this week.

Category Flows Summary

Category Fund Count AUM 5 Day 30 Day 90 Day YTD 1 Year
Absolute Return – Multi-Strategy 12 $2.75B $219M $289M $683M $824M $1,027M
Volatility – Long 6 $1.27B $21M -$308M $747M $69M $1,595M
Absolute Return – Event Driven 9 $440M -$6M $2M -$11M -$33M -$5M
Volatility – Short 5 $1.09B -$7M -$33M -$276M -$102M -$602M
Absolute Return – Managed Futures 16 $7.23B -$131M $106M $990M $2,463M $3,523M

Top & Bottom 5 ETFs by 5-Day Flow

Flows at the fund level mirrored the broader category trends, with a single ETF dominating inflows. The First Trust Multi-Strategy Alternative ETF (LALT) single-handedly brought in $160 million, capturing the bulk of the channel’s net new assets. On the other hand, redemptions were concentrated in the managed futures space. The iMGP DBi Managed Futures Strategy ETF (DBMF) led outflows with $137 million withdrawn, followed by the First Trust Managed Futures Strategy Fund (FMF) which saw $25 million in outflows.

Ticker Fund Name 5-Day Flow
Inflows
LALT First Trust Multi-Strategy Alternative ETF $160M
FLSP Franklin Systematic Style Premia ETF $44M
UVIX 2x Long VIX Futures ETF $17M
TFPN Blueprint Chesapeake Multi-Asset Trend ETF $15M
UVXY ProShares Ultra VIX Short-Term Futures ETF $15M
Outflows
DBMF iMGP DBi Managed Futures Strategy ETF -$137M
FMF First Trust Managed Futures Strategy Fund -$25M
VXX iPath Series B S&P 500 VIX Short-Term Futures ETN -$7M
CUSD CrossingBridge Ultra-Short Duration ETF -$6M
VIXY ProShares VIX Short-Term Futures ETF -$3M

Issuer League Table Update

The issuer landscape is led by iM, which commands a 30.21% market share, followed by Simplify with a 16.52% share of channel assets. This week, First Trust was the leading asset gatherer, bringing in $145 million in net new capital. Conversely, the largest issuer, iM, also experienced the largest weekly outflows. The firm saw investors redeem a net total of $137 million, driven by its flagship managed futures fund.

Top 5 Issuers by AUM

Brand Fund Count AUM AUM Market Share
iM 1 $3.86B 30.21%
Simplify 5 $2.11B 16.52%
New York Life Investments 2 $1.26B 9.88%
Franklin 1 $981M 7.67%
ProShares 6 $739M 5.78%

Top & Bottom 3 Issuers by 5-Day Flow

Brand 5-Day Flow
Inflows
First Trust $145M
Franklin $44M
Volatility Shares $15M
Outflows
iM -$137M
iPath -$7M
CrossingBridge Funds -$6M

For a deeper dive into these trends, access our FREE, in-depth Alternative 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.