Health Care Surges Amidst Broad Sell-Off; Sector Leads Performance and Flows

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Weekly Channel Summary

The Sector & Industry channel faced selling pressure this week, recording total net outflows of ($687 Million). Despite the recent pullback, the channel remains firmly in positive territory for the year, boasting $10.02 Billion in year-to-date inflows. The ecosystem currently tracks 261 ETFs across 52 Issuers with total Assets Under Management standing at $843 Billion.

This Week’s Performance Leaders and Laggards

Health Care was the clear standout this week, delivering a gain of 2.12% WTD, followed by Communication Services at 0.95%. On the flip side, Information Technology lagged significantly, dropping -5.00% for the week, though it remains up 18.08% YTD.

Category Performance Snapshot

Category WTD 1 Month 3 Month 6 Month YTD 1 Year
Health Care 2.12% 5.93% 14.08% 22.94% 17.68% 13.38%
Comm Services 0.95% -3.82% 3.36% 12.71% 17.76% 18.34%
Consumer Staples 0.32% -2.87% -6.18% -4.21% -1.15% -4.18%
Real Estate -0.34% -2.45% 0.28% 4.39% 4.27% -1.05%
Utilities -0.86% -2.99% 3.68% 9.66% 18.73% 10.56%
Financials -0.96% -0.40% -0.91% 7.18% 9.06% 4.42%
Materials -1.40% -3.62% -2.70% 7.33% 7.16% -3.67%
Consumer Discretionary -1.59% -5.74% -2.27% 4.96% 1.11% 2.16%
Industrial -2.71% -5.26% 0.31% 10.78% 18.05% 12.56%
Energy -2.77% 3.47% 7.33% 15.25% 5.53% -3.92%
Information Technology -5.00% -6.88% 7.14% 20.77% 18.08% 18.67%

Top & Bottom 5 ETFs by Weekly Performance

The best-performing ETF for the week was the XHS (State Street SPDR S&P Health Care Services ETF), which gained 4.60%. On the other end of the spectrum, the WDEF (WisdomTree Europe Defense Fund) and PTF (Invesco Dorsey Wright Technology Momentum ETF) struggled the most, declining -8.04% and -7.07% respectively.

Ticker Fund Name WTD Performance
Top Performers
XHS State Street SPDR S&P Health Care Services ETF 4.60%
FBT First Trust NYSE Arca Biotechnology Index Fund 3.56%
XHE State Street SPDR S&P Health Care Equipment ETF 3.52%
IHE iShares U.S. Pharmaceuticals ETF 3.20%
DVXV WEBs Health Care XLV Defined Volatility ETF 3.13%
Bottom Performers
WDEF WisdomTree Europe Defense Fund -8.04%
PTF Invesco Dorsey Wright Technology Momentum ETF -7.07%
DVXK WEBS Technology XLK Defined Volatility ETF -6.90%
PSCT Invesco S&P SmallCap Information Technology ETF -6.83%
COAL Range Global Coal Index ETF -6.72%

Analyzing the Weekly Flows

The channel experienced net outflows totaling ($687 Million) this week. However, Health Care bucked the trend, attracting the most capital with $967 Million in new assets, bringing its total AUM to $93.6 Billion. Information Technology also saw significant buying with $721 Million in inflows. Conversely, Financials saw the heaviest selling, shedding ($1.14 Billion).

Category Flows Summary

Category Fund Count AUM 5 Day 30 Day 90 Day YTD 1 Year
Health Care 31 $93.6B $967M $3,040M $5,056M ($2,267M) ($4,062M)
Information Technology 32 $328.4B $721M $5,736M $6,217M $10,799M $11,879M
Comm Services 7 $33.4B $461M $185M $1,059M $3,406M $3,894M
Utilities 11 $38.1B $109M $772M $1,235M $6,159M $6,502M
Industrial 28 $61.5B $5M $344M $3,321M $4,838M $5,593M
Real Estate 52 $79.8B ($100M) $155M $900M $1,360M $1,352M
Materials 10 $9.4B ($135M) ($353M) $111M ($820M) ($821M)
Consumer Staples 13 $26.0B ($137M) ($366M) ($724M) ($561M) ($64M)
Consumer Discretionary 15 $33.0B ($563M) ($1,100M) ($18M) ($2,399M) ($2,347M)
Energy 30 $44.9B ($872M) $70M ($1,067M) ($10,524M) ($11,703M)
Financials 32 $94.8B ($1,143M) ($3,200M) $299M $32M $2,203M

Top & Bottom 5 ETFs by 5-Day Flow

The XLK (Technology Select Sector SPDR Fund) led all individual funds with $744 Million in net inflows. In contrast, the IGM (iShares Expanded Tech Sector ETF) and XLE (Energy Select Sector SPDR Fund) saw the most significant exits, with outflows of ($659 Million) and ($621 Million) respectively.

Ticker Fund Name 5-Day Flow
Inflows
XLK Technology Select Sector SPDR Fund $744M
IBB iShares Biotechnology ETF $657M
VOX Vanguard Communication Services ETF $550M
VGT Vanguard Information Technology ETF $442M
SOXX iShares Semiconductor ETF $288M
Outflows
IGM iShares Expanded Tech Sector ETF ($659M)
XLE Energy Select Sector SPDR Fund ($621M)
XLY Consumer Discretionary Select Sector SPDR Fund ($573M)
XLF Financial Select Sector SPDR Fund ($567M)
IYW iShares U.S. Technology ETF ($386M)

Issuer League Table Update

SPDR and Vanguard continue to dominate the landscape, holding 42.18% and 25.93% of the market share, respectively. In terms of flows, Vanguard secured the top spot with $1.2 Billion in weekly inflows, while SPDR experienced the largest outflows at ($2.2 Billion).

Top 5 Issuers by AUM

Brand Fund Count AUM AUM Market Share
SPDR 30 $355.61B 42.18%
Vanguard 12 $218.58B 25.93%
iShares 49 $133.54B 15.84%
VanEck 11 $37.18B 4.41%
Fidelity 12 $32.10B 3.81%

Top & Bottom 3 Issuers by 5-Day Flow

Brand 5-Day Flow
Inflows
Vanguard $1,209M
First Trust $214M
VanEck $128M
Outflows
SPDR ($2,238M)
Invesco ($222M)
Tuttle Capital ($50M)

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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.