FI: Specialty – Interest Rate Volatility ETFs fall as Maturing Ladder ETFs lead in Performance

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Weekly Channel Summary

The FI: Specialty ETF channel currently manages a total of $68B in assets across 127 ETFs from 15 different brands. The category has shown significant momentum over the past year, attracting $22.12B in net new money. Activity remained robust this past week with $0.54B in 5-day inflows, contributing to a strong Year-to-Date (YTD) flow total of $3.49B.

This Week’s Performance Leaders and Laggards

Performance across specialty fixed income categories was mixed this week. The Fixed Income: Specialty – Maturing Ladder category led the group with a return of 1.09%, bringing its YTD performance to a solid 1.69%. Conversely, the Fixed Income: Specialty – Interest Rate Volatility category was the week’s laggard, declining -0.35%, though it remains slightly positive for the year at 0.26%.

Category Performance Snapshot

Category WTD 1 Month 3 Month 6 Month YTD 1 Year
Fixed Income: Specialty – Maturing Ladder 1.09% 1.32% 1.32% 3.67% 1.69% 5.93%
Fixed Income: Specialty – Defined Maturity 0.49% 0.75% 1.65% 3.12% 1.05% 6.74%
Fixed Income: Specialty – Interest Rate Volatility -0.35% 0.39% -0.39% -1.81% 0.26% -2.21%

Top & Bottom 5 ETFs by Weekly Performance

The Simplify Bond Bull ETF (RFIX) delivered an exceptional weekly return of 6.24%, dominating the leaderboards. On the downside, interest rate hedges faced headwinds as the Simplify Interest Rate Hedge ETF (PFIX) fell -6.42%, followed by the Vest 10 Year Interest Rate Hedge ETF (RYSE) which declined -2.99%.

Ticker Fund Name WTD Performance
Top Performers
RFIX Simplify Bond Bull ETF 6.24%
IBGK iShares iBonds Dec 2054 Term Treasury ETF 2.44%
IBGL iShares iBonds Dec 2055 Term Treasury ETF 2.42%
LFDR LifeX Durable Income ETF 2.19%
LFBE LifeX 2065 Longevity Income ETF 2.19%
Bottom Performers
PFIX Simplify Interest Rate Hedge ETF -6.42%
RYSE Vest 10 Year Interest Rate Hedge ETF -2.99%
HYKE Vest 2 Year Interest Rate Hedge ETF -1.93%
RISR FolioBeyond Alternative Income and Interest Rate Hedge ETF -0.63%
RINF ProShares Inflation Expectations ETF -0.59%

Analyzing the Weekly Flows

The channel realized total net inflows of $545M this week. The Specialty Defined Maturity category, which represents the lion’s share of the channel with $67.1B in AUM, accounted for nearly all of the positive movement with $544M in 5-day flows. Conversely, the Fixed Income: Specialty – Maturing Ladder category saw modest outflows of -$1M.

Category Flows Summary

Category Fund Count AUM 5 Day 30 Day 90 Day YTD 1 Year
Specialty Defined Maturity 97 $67.1B $544M $2,091M $8,497M $3,501M $22,201M
Specialty – Interest Rate Volatility 10 $0.9B $2M $14M $64M ($7M) $93M
Fixed Income: Specialty – Maturing Ladder 20 $0.1B ($1M) ($2M) ($16M) ($3M) ($171M)

Top & Bottom 5 ETFs by 5-Day Flow

The State Street My2028 Corporate Bond ETF (MYCH) was the week’s standout for growth, attracting $41M, which represented nearly 50% of its total AUM. On the flip side, the Invesco BulletShares 2026 Corporate Bond ETF (BSCQ) saw the largest absolute withdrawals at -$21M, followed by the Invesco BulletShares 2026 High Yield Corp Bond ETF (BSJQ) with -$9M in outflows.

Ticker Fund Name 5-Day Flow
Inflows
MYCH State Street My2028 Corporate Bond ETF $41M
BSCS Invesco BulletShares 2028 Corporate Bond ETF $37M
IBDW iShares iBonds Dec 2031 Term Corporate ETF $36M
IBDZ iShares iBonds Dec 2034 Term Corporate ETF $34M
BSCY Invesco BulletShares 2034 Corporate Bond ETF $32M
Outflows
BSCQ Invesco BulletShares 2026 Corporate Bond ETF -$21M
BSJQ Invesco BulletShares 2026 High Yield Corp Bond ETF -$9M
IBHF iShares iBonds 2026 Term High Yield and Income ETF -$7M
IBIC iShares iBonds Oct 2026 Term TIPS ETF -$5M
BSMQ Invesco BulletShares 2026 Municipal Bond ETF -$2M

Issuer League Table Update

The issuer landscape is heavily concentrated, with iShares and Invesco controlling nearly 98% of the market share. iShares led the pack in weekly fundraising, gathering $314M in net inflows. On the other hand, Northern Trust saw the largest net outflows for the week, losing -$1M.

Top 5 Issuers by AUM

Brand Fund Count AUM AUM Market Share
iShares 47 $39.41B 57.84%
Invesco 28 $27.28B 40.04%
Quadratic 1 $0.49B 0.72%
State Street 14 $0.28B 0.41%
Simplify 2 $0.22B 0.33%

Top & Bottom 3 Issuers by 5-Day Flow

Brand 5-Day Flow
Inflows
iShares $314M
Invesco $184M
State Street $45M
Outflows
Northern Funds -$1M
Stone Ridge $0M
Quadratic $2M

For a deeper dive into these trends, access our FREE, in-depth FI: Specialty 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.