Weekly Channel Summary
The Specialty Fixed Income channel, comprising 165 ETFs from 13 issuers, holds total assets of $74.38 billion. This week, the channel attracted $129 million in net new assets. This continues a strong trend of inflows, with year-to-date net flows reaching $10.74 billion and one-year flows totaling an impressive $20.60 billion.
This Week’s Performance Leaders and Laggards
Performance across Specialty Fixed Income categories was mixed, with most segments remaining relatively flat. The Maturing Ladder category edged out a minor gain of 0.01% for the week. In contrast, Interest Rate Volatility funds experienced a significant downturn, falling by 1.85%. Year-to-date, the larger Defined Maturity category maintains a positive return of 1.15%.
Category Performance Snapshot
| Category | WTD | 1 Month | 3 Month | 6 Month | YTD | 1 Year |
|---|---|---|---|---|---|---|
| Specialty – Maturing Ladder | 0.01% | -0.07% | -0.61% | -1.67% | 0.09% | 1.31% |
| Specialty – Defined Maturity | -0.02% | 0.27% | 0.38% | 0.17% | 1.15% | 2.89% |
| Specialty – Interest Rate Volatility | -1.85% | 1.40% | 1.23% | 3.31% | 0.71% | -2.41% |
Top & Bottom 5 ETFs by Weekly Performance
Individual fund performance highlighted the week’s volatility theme, particularly on the downside. The Quadratic Deflation ETF (BNDD) was the top performer, gaining 1.57%. On the other end of the spectrum, the Simplify Interest Rate Hedge ETF (PFIX) posted the largest loss, declining by 5.33% for the week. This divergence underscores the varied strategies within the Specialty channel.
| Ticker | Fund Name | WTD Performance |
|---|---|---|
| Top Performers | ||
| BNDD | Quadratic Deflation ETF | 1.57% |
| IBGM | iShares iBonds Dec 2056 Term Treasury ETF | 1.02% |
| IBGK | iShares iBonds Dec 2054 Term Treasury ETF | 1.00% |
| IBGL | iShares iBonds Dec 2055 Term Treasury ETF | 1.00% |
| LFBE | LifeX 2065 Longevity Income ETF | 0.83% |
| Bottom Performers | ||
| PFIX | Simplify Interest Rate Hedge ETF | -5.33% |
| IVOL | KraneShares Quadratic Interest Rate Volatility and Inflation Hedge ETF | -2.39% |
| IRVH | Global X Interest Rate Volatility & Inflation Hedge ETF | -0.60% |
| IBIH | iShares iBonds Oct 2031 Term TIPS ETF | -0.44% |
| IBIG | iShares iBonds Oct 2030 Term TIPS ETF | -0.43% |
Analyzing the Weekly Flows
The Specialty Fixed Income channel recorded net inflows of $129 million this week, driven almost entirely by the Defined Maturity category which gathered $127 million. By segment, Government bond ETFs led with $83 million in new assets, followed by Municipals with $52 million, while Corporate bond ETFs saw minor outflows of $6 million. Looking at specific maturities, funds targeting 2028 saw the largest weekly inflow at $126 million, whereas those maturing in 2029 and 2026 experienced the most significant redemptions.
Flows by Category
| Category | Fund Count | AUM | 5 Day | 30 Day | 90 Day | YTD | 1 Year |
|---|---|---|---|---|---|---|---|
| Specialty – Defined Maturity | 129 | $73.32B | $127M | $1,062M | $3,471M | $10,781M | $20,625M |
| Specialty – Maturing Ladder | 28 | $180M | $3M | -$6M | -$11M | $21M | -$121M |
| Specialty – Interest Rate Volatility | 8 | $876M | -$1M | $21M | $2M | -$64M | $91M |
Flows by Segment
| Segment | Fund Count | AUM | 5 Day | 30 Day | 90 Day | YTD | 1 Year |
|---|---|---|---|---|---|---|---|
| Government | 67 | $13.38B | $83M | $402M | $1,094M | $2,554M | $4,565M |
| Municipal | 34 | $5.29B | $52M | $123M | $288M | $943M | $1,675M |
| Corporate | 64 | $55.71B | -$6M | $551M | $2,079M | $7,241M | $14,355M |
Flows by Duration
| Duration | Fund Count | AUM | 5 Day | 30 Day | 90 Day | YTD | 1 Year |
|---|---|---|---|---|---|---|---|
| Duration: 2026 | 10 | $11.31B | -$125M | -$679M | -$1,388M | -$2,321M | -$1,221M |
| Duration: 2027 | 13 | $13.54B | $38M | $250M | $560M | $1,520M | $2,788M |
| Duration: 2028 | 14 | $12.97B | $126M | $347M | $1,092M | $2,971M | $4,589M |
| Duration: 2029 | 13 | $10.44B | -$126M | $123M | $744M | $2,030M | $3,600M |
| Duration: 2030 | 17 | $8.50B | $47M | $254M | $822M | $2,049M | $3,631M |
| Duration: 2031 | 15 | $5.78B | $60M | $221M | $646M | $1,461M | $2,290M |
| Duration: 2032 | 11 | $4.29B | $18M | $127M | $350M | $889M | $1,601M |
| Duration: 2033 | 11 | $2.94B | $25M | $104M | $135M | $599M | $991M |
| Duration: 2034 | 10 | $2.04B | -$10M | $68M | $117M | $645M | $1,095M |
| Duration: 2035 | 13 | $1.19B | $37M | $120M | $194M | $679M | $825M |
| Duration: 2036 | 7 | $215M | $36M | $65M | $119M | $188M | $188M |
| Duration: 2044 | 1 | $107M | $0M | $4M | $13M | $24M | $38M |
| Duration: 2045 | 3 | $23M | $3M | $3M | $3M | $3M | $7M |
| Duration: 2046 | 3 | $42M | $2M | $21M | $27M | $29M | $29M |
| Duration: 2050 | 2 | $8M | $0M | $0M | $0M | $0M | $4M |
| Duration: 2054 | 1 | $6M | $0M | $0M | $2M | $2M | $4M |
| Duration: 2055 | 5 | $20M | $0M | -$4M | -$9M | -$4M | $1M |
| Duration: 2056 | 3 | $53M | $0M | $37M | $37M | $40M | $40M |
| Duration: 2060 | 2 | $4M | $0M | -$4M | -$3M | -$2M | $1M |
| Duration: 2065 | 2 | $5M | -$1M | -$2M | -$2M | -$2M | $5M |
| Duration: Long | 1 | $1M | $0M | -$0M | -$0M | $0M | $0M |
Top & Bottom 5 ETFs by 5-Day Flow
At the fund level, the iShares iBonds Oct 2028 Term TIPS ETF (IBIE) was the week’s top asset gatherer, pulling in $37 million. In contrast, significant outflows were concentrated in a few specific funds. The iShares iBonds Dec 2029 Term Corporate ETF (IBDU) experienced the largest redemption, shedding $161 million, followed by the iShares iBonds Dec 2026 Term Treasury ETF (IBTG), which saw outflows of $53 million.
| Ticker | Fund Name | 5-Day Flow |
|---|---|---|
| Inflows | ||
| IBIE | iShares iBonds Oct 2028 Term TIPS ETF | $37M |
| IBCB | iShares iBonds Dec 2036 Term Corporate ETF | $32M |
| VBCB | Vanguard Target Maturity 2028 Corporate Bond ETF | $32M |
| IBCA | iShares iBonds Dec 2035 Term Corporate ETF | $24M |
| IBDW | iShares iBonds Dec 2031 Term Corporate ETF | $22M |
| Outflows | ||
| IBDU | iShares iBonds Dec 2029 Term Corporate ETF | -$161M |
| IBTG | iShares iBonds Dec 2026 Term Treasury ETF | -$53M |
| IBDR | iShares iBonds Dec 2026 Term Corporate ETF | -$32M |
| IBDZ | iShares iBonds Dec 2034 Term Corporate ETF | -$17M |
| IBHF | iShares iBonds 2026 Term High Yield and Income ETF | -$16M |
Issuer League Table Update
The issuer landscape remains dominated by iShares and Invesco, which command 58.26% and 38.20% of the channel’s assets, respectively. This week, Invesco led all issuers in asset gathering, attracting $66 million in net new capital. Conversely, Quadratic experienced the largest net outflows for the week, with redemptions totaling $6 million.
Top 5 Issuers by AUM
| Brand | Fund Count | AUM | AUM Market Share |
|---|---|---|---|
| iShares | 57 | $43.33B | 58.26% |
| Invesco | 35 | $28.41B | 38.20% |
| State Street | 21 | $1.16B | 1.56% |
| Vanguard | 10 | $412M | 0.55% |
| FolioBeyond | 1 | $327M | 0.44% |
Top & Bottom 3 Issuers by 5-Day Flow
| Brand | 5-Day Flow |
|---|---|
| Inflows | |
| Invesco | $66M |
| Vanguard | $42M |
| State Street | $16M |
| Outflows | |
| Quadratic | -$6M |
| Stone Ridge | -$1M |
| American Beacon | $0M |
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.
