Convertibles Surge & Multi-Sector Demand Drives Taxable ETF AUM Past $2 Trillion

Share

Weekly Channel Summary

The taxable fixed income ETF channel ended the week of January 9, 2026, with total assets under management (AUM) reaching $2,042 billion across 658 ETFs from 136 different issuers. The channel experienced robust flow activity, pulling in $10.60 billion for the week. This strong weekly performance brings the year-to-date (YTD) net inflows to $12.01 billion, building on an impressive trailing one-year total of $385.25 billion in net new money.

This Week’s Performance Leaders and Laggards

Risk-on sentiment was evident this week as the Convertible category led all taxable bond segments with a 1.53% return, which also pushed its YTD performance to a leading 3.24%. Conversely, the International category was the primary laggard, falling 0.15% on the week, though it remains up significantly over the trailing year. The Government Long segment also saw strength, gaining 0.79% as longer-dated yields moderated.

Category Performance Snapshot

Category WTD 1 Month 3 Month 6 Month YTD 1 Year
Convertible 1.53% 1.38% -0.69% 7.71% 3.24% 24.79%
Government Long 0.79% 0.38% -0.05% 3.54% 0.47% 7.53%
Long-Term 0.78% 0.58% 0.46% 4.78% 0.52% 9.52%
Preferred Stock 0.44% 1.41% 1.33% 4.51% 0.89% 7.20%
Securitized 0.41% 0.98% 1.71% 4.23% 0.36% 8.59%
International USD 0.38% 0.58% 0.60% 1.60% 0.22% 4.26%
High Yield 0.35% 1.00% 1.86% 4.07% 0.41% 8.41%
Multisector Taxable 0.33% 0.90% 1.50% 3.78% 0.35% 7.55%
Core 0.32% 0.70% 1.16% 3.77% 0.24% 7.83%
Corporate 0.30% 0.55% 0.91% 3.81% 0.20% 8.55%
Government Short -0.01% 0.46% 1.00% 2.45% 0.00% 5.40%
International -0.15% 0.74% 1.03% 0.61% -0.28% 12.35%

Top & Bottom 5 ETFs by Weekly Performance

The CVRT (Calamos Convertible Equity Alternative ETF) was the single best-performing ETF this week, posting a gain of 2.23%. On the other hand, international government bonds faced headwinds, with the BWZ (SPDR Bloomberg Short Term International Treasury Bond ETF) and TUA (Simplify Short Term Treasury Futures Strategy ETF) lagging the field with returns of -0.60% and -0.58%, respectively.

Ticker Fund Name WTD Performance
Top Performers
CVRT Calamos Convertible Equity Alternative ETF 2.23%
FCVT First Trust SSI Strategic Convertible Securities ETF 2.17%
SPFF Global X Superincome Preferred ETF 2.02%
CWB State Street SPDR Bloomberg Convertible Securities ETF 1.82%
ICVT iShares Convertible Bond ETF 1.72%
Bottom Performers
IBND SPDR Bloomberg International Corporate Bond ETF -0.39%
ISHG iShares 1-3 Year International Treasury Bond ETF -0.39%
BWX SPDR Bloomberg International Treasury Bond ETF -0.42%
TUA Simplify Short Term Treasury Futures Strategy ETF -0.58%
BWZ SPDR Bloomberg Short Term International Treasury Bond ETF -0.60%

Analyzing the Weekly Flows

Total net flows for the taxable ETF channel reached $10.60 billion this week. Flow activity was dominated by the FI: Multi-Sector segment, which gathered a massive $6.01 billion. From a credit perspective, Investment Grade remained the primary target for investors, while the Intermediate duration bucket saw the strongest appetite as investors balanced yield and rate risk. The only major outflow occurred in the Duration: Long category, which shed $483 million.

Flows by Segment

Segment Fund Count AUM 5 Day Flow 30 Day Flow 90 Day Flow YTD Flow 1 Year Flow
FI: Multi-Sector 277 $847.8B $6,010M $22,371M $61,247M $7,867M $188,572M
FI: Government 116 $619.4B $2,698M $8,822M $36,927M $2,287M $120,313M
FI: Bank Loans 37 $58.5B $967M $855M $72M $1,011M $11,138M
FI: Securitized 37 $101.8B $604M $1,689M ($418M) $625M $18,579M
FI: Corporate 165 $373.8B $341M $2,380M $11,838M $270M $44,802M
FI: Cat Bonds 1 $0.0B $1M $8M $23M $1M $35M
FI: Preferred Stock 25 $40.2B ($21M) $142M $471M ($51M) $1,812M

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 343 $1,633.9B $7,813M $24,977M $79,565M $9,261M $291,330M
Credit: Blend 165 $221.3B $2,306M $8,387M $24,551M $2,322M $68,647M
Credit: High Yield 149 $186.2B $480M $2,898M $5,979M $427M $25,166M

Flows by Duration

Duration Fund Count AUM 5 Day Flow 30 Day Flow 90 Day Flow YTD Flow 1 Year Flow
Duration: Intermediate 394 $1,189.8B $5,827M $23,236M $67,195M $6,611M $223,722M
Duration: Ultrashort 123 $386.9B $3,708M $8,378M $21,882M $4,739M $107,554M
Duration: Short 84 $269.2B $1,547M $4,409M $13,932M $1,205M $41,150M
Duration: Long 56 $195.5B ($483M) $239M $7,086M ($546M) $12,717M

Top & Bottom 5 ETFs by 5-Day Flow

The SGOV (iShares 0-3 Month Treasury Bond ETF) was the top flow gatherer for the week, attracting $1,542 million. In contrast, high-yield and investment-grade corporate bonds faced major outflows, with the HYG (iShares iBoxx $ High Yield Corporate Bond ETF) and LQD (iShares iBoxx $ Investment Grade Corporate Bond ETF) losing $1,138 million and $982 million, respectively.

Ticker Fund Name 5-Day Flow
Inflows
SGOV iShares 0-3 Month Treasury Bond ETF $1,542M
BND Vanguard Total Bond Market ETF $586M
VCIT Vanguard Intermediate-Term Corporate Bond ETF $453M
IEF iShares 7-10 Year Treasury Bond ETF $443M
AGG iShares Core U.S. Aggregate Bond ETF $439M
Outflows
HYG iShares iBoxx $ High Yield Corporate Bond ETF ($1,138M)
LQD iShares iBoxx $ Investment Grade Corporate Bond ETF ($982M)
TLT iShares 20+ Year Treasury Bond ETF ($833M)
SPAB State Street SPDR Portfolio Aggregate Bond ETF ($191M)
TIP iShares TIPS Bond ETF ($111M)

Issuer League Table Update

iShares remains the dominant force in the taxable bond space with a 37.85% market share, followed by Vanguard at 26.68%. Vanguard was the clear winner in weekly flows, gathering $3,120 million in net new money. Among the top brands, BondBloxx saw the largest weekly outflow, losing $25 million as investors rotated out of specific target-duration treasury exposures.

Top 5 Issuers by AUM

Brand Fund Count AUM AUM Market Share
iShares 84 $772.72B 37.85%
Vanguard 30 $544.71B 26.68%
SPDR 39 $163.84B 8.03%
JPMorgan 19 $76.30B 3.74%
Schwab 12 $69.68B 3.41%

Top & Bottom 3 Issuers by 5-Day Flow

Brand 5-Day Flow
Inflows
Vanguard $3,120M
iShares $1,395M
JPMorgan $740M
Outflows
BondBloxx ($25M)
Global X ($17M)
AAM ($7M)

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.