Weekly Channel Summary
The Alternative ETF channel, comprising 46 ETFs from 28 different issuers, currently holds approximately $10.8 billion in total assets under management. The channel experienced a net outflow of -$269 million over the past week, a reversal from the positive flows seen over longer periods. Year-to-date, the channel has attracted a substantial $4.03 billion, and looking back over the past twelve months, it has gathered $4.40 billion in net new assets, indicating strong investor interest in alternative strategies despite the recent short-term withdrawals.
This Week’s Performance Leaders and Laggards
This week’s performance highlighted the classic inverse relationship within the volatility space. The “Volatility – Short” category posted a modest gain of 0.22%, though it remains down -13.25% year-to-date. Conversely, the “Volatility – Long” category was the worst-performing group with a weekly loss of -2.69%, extending its year-to-date decline to -21.61%. Among the Absolute Return strategies, the “Multi-Strategy” category led the way with a weekly return of 1.70%, demonstrating positive momentum in a mixed week for alternatives.
Absolute Return Category Performance
| Category | WTD | 1 Month | 3 Month | 6 Month | YTD | 1 Year |
|---|---|---|---|---|---|---|
| Absolute Return – Multi-Strategy | 1.70% | 1.22% | 2.48% | 8.14% | 3.38% | 3.25% |
| Absolute Return – Managed Futures | 1.52% | 2.87% | 6.03% | 9.02% | 3.79% | 5.27% |
| Absolute Return – Event Driven | 0.57% | 1.59% | 2.25% | 6.28% | 8.13% | 8.82% |
Volatility Category Performance
| Category | WTD | 1 Month | 3 Month | 6 Month | YTD | 1 Year |
|---|---|---|---|---|---|---|
| Alternative: Volatility – Short | 0.22% | -5.59% | 7.51% | 33.29% | -13.25% | -11.87% |
| Alternative: Volatility – Long | -2.69% | 9.49% | -19.87% | -44.67% | -21.61% | -29.09% |
Top & Bottom 5 ETFs by Weekly Performance
At the individual fund level, the Opportunistic Trader ETF (WZRD) was the standout top performer, delivering a strong 6.18% return for the week. On the other end of the spectrum, long volatility funds dominated the laggards list. The 2x Long VIX Futures ETF (UVIX) was the worst performer with a loss of -4.58%, closely followed by the Defiance Enhanced Long Vol ETF (VIXI), which fell -4.37%, as bets on increased market volatility did not pay off.
| Ticker | Fund Name | WTD Performance |
|---|---|---|
| Top Performers | ||
| WZRD | Opportunistic Trader ETF | 6.18% |
| DBMF | IMGP DBI Managed Futures Strategy ETF | 3.99% |
| HFMF | Unlimited HFMF Managed Futures ETF | 3.89% |
| AHLT | American Beacon AHL Trend ETF | 3.62% |
| ASGM | Virtus AlphaSimplex Global Macro ETF | 3.16% |
| Bottom Performers | ||
| UVIX | 2x Long VIX Futures ETF | -4.58% |
| VIXI | Defiance Enhanced Long Vol ETF | -4.37% |
| UVXY | ProShares Ultra VIX Short-Term Futures ETF | -3.79% |
| VIXY | ProShares VIX Short-Term Futures ETF | -1.91% |
| VXX | iPath Series B S&P 500 VIX Short-Term Futures ETN | -1.89% |
Analyzing the Weekly Flows
Despite a total net outflow of -$269 million for the channel, investor behavior showed some interesting divergences. The “Volatility – Short” category attracted the most inflows, pulling in $24 million, a seemingly contrarian move given the category’s modest weekly gain of 0.22%. Conversely, the “Volatility – Long” category saw the largest exodus of capital, with investors withdrawing -$303 million as the category posted a weekly loss of -2.69%. The combined “Absolute Return” categories saw net positive inflows of $10 million, suggesting a continued, albeit mild, appetite for these strategies.
Absolute Return Category Flows
| Category | Fund Count | AUM | 5 Day | 30 Day | 90 Day | YTD | 1 Year |
|---|---|---|---|---|---|---|---|
| Absolute Return – Event Driven | 9 | $0.5B | $11M | $13M | $8M | ($10M) | ($14M) |
| Absolute Return – Managed Futures | 14 | $4.3B | $7M | $358M | $653M | $1,570M | $1,868M |
| Absolute Return – Multi-Strategy | 11 | $1.9B | ($8M) | $286M | $255M | $295M | $446M |
Volatility Category Flows
| Category | Fund Count | AUM | 5 Day | 30 Day | 90 Day | YTD | 1 Year |
|---|---|---|---|---|---|---|---|
| Alternative: Volatility – Short | 5 | $1.2B | $24M | ($14M) | ($261M) | ($433M) | ($465M) |
| Alternative: Volatility – Long | 7 | $3.0B | ($303M) | ($109M) | $1,275M | $2,607M | $2,567M |
Top & Bottom 5 ETFs by 5-Day Flow
The -1x Short VIX Futures ETF (SVIX) was the top inflow leader, gathering $26 million, a significant haul representing over 16% of its AUM. On the flip side, large outflows were concentrated in leveraged long volatility products. The 2x Long VIX Futures ETF (UVIX) shed -$145 million, and the ProShares Ultra VIX Short-Term Futures ETF (UVXY) saw -$74 million in withdrawals, as investors rapidly unwound their positions.
| Ticker | Fund Name | 5-Day Flow |
|---|---|---|
| Inflows | ||
| SVIX | -1x Short VIX Futures ETF | $26M |
| ARB | AltShares Merger Arbitrage ETF | $11M |
| WTMF | WisdomTree Managed Futures Strategy Fund | $6M |
| SVOL | Simplify Volatility Premium ETF | $4M |
| MFUT | Cambria Chesapeake Pure Trend ETF | $3M |
| Outflows | ||
| UVIX | 2x Long VIX Futures ETF | ($145M) |
| UVXY | ProShares Ultra VIX Short-Term Futures ETF | ($74M) |
| VIXY | ProShares VIX Short-Term Futures ETF | ($53M) |
| VXX | iPath Series B S&P 500 VIX Short-Term Futures ETN | ($31M) |
| QIS | Simplify Multi-QIS Alternative ETF | ($10M) |
Issuer League Table Update
Simplify remains the top issuer by market share at 18.40%, with $2.00 billion in AUM. IM holds the second position with a 17.01% market share and $1.85 billion in assets. This week’s flow leader was Altshares, which brought in $11 million in new assets. In contrast, ProShares experienced the largest weekly outflows, with a significant withdrawal of -$133 million from its funds.
Top 5 Issuers by AUM
| Brand | Fund Count | AUM | AUM Market Share |
|---|---|---|---|
| Simplify | 3 | $2.00B | 18.40% |
| IM | 1 | $1.85B | 17.01% |
| ProShares | 6 | $1.36B | 12.57% |
| iPath | 2 | $1.32B | 12.13% |
| New York Life Investments | 2 | $1.08B | 9.98% |
Top & Bottom 3 Issuers by 5-Day Flow
| Brand | 5-Day Flow |
|---|---|
| Inflows | |
| Altshares | $11M |
| WisdomTree | $6M |
| Cambria | $3M |
| Outflows | |
| ProShares | ($133M) |
| Volatility Shares | ($119M) |
| iPath | ($31M) |
For a deeper dive into these trends, access our FREE, in-depth Thematic 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.
