Weekly Channel Summary
The Alternative ETF channel, currently comprised of 47 funds across 29 issuers, manages a total of $10.18 billion in assets. Sentiment shifted this week, with the channel experiencing net outflows of ($241M), a notable reversal from recent trends. Despite this weekly pullback, the long-term flow picture remains robust, with the channel accumulating $3.58B in net inflows year-to-date and $3.76B over the past one-year period.
This Week’s Performance Leaders and Laggards
Performance within the volatility complex highlighted a sharp divergence this week. “Volatility – Long” strategies surged, delivering a weekly return of 8.84%, while “Volatility – Short” strategies struggled, declining by -4.03%. This inverse relationship underscores the heightened market volatility observed recently. Despite the strong week, Long Volatility remains down -19.47% YTD, whereas Short Volatility is down -15.53% for the year. Among the Absolute Return categories, “Event Driven” proved the most resilient, posting a nearly flat return of -0.14% to lead the group.
Absolute Return Category Performance
| Category | WTD | 1 Month | 3 Month | 6 Month | YTD | 1 Year |
|---|---|---|---|---|---|---|
| Absolute Return – Event Driven | -0.14% | 0.20% | 2.27% | 4.53% | 8.50% | 9.27% |
| Absolute Return – Managed Futures | -0.95% | -1.53% | 3.86% | 7.05% | 2.23% | 3.66% |
| Absolute Return – Multi-Strategy | -1.44% | -0.68% | 1.53% | 4.15% | 2.44% | 1.65% |
Volatility Category Performance
| Category | WTD | 1 Month | 3 Month | 6 Month | YTD | 1 Year |
|---|---|---|---|---|---|---|
| Alternative: Volatility – Long | 8.84% | 11.78% | -6.30% | -29.41% | -19.47% | -21.19% |
| Alternative: Volatility – Short | -4.03% | -5.90% | -0.07% | 11.05% | -15.53% | -17.46% |
Top & Bottom 5 ETFs by Weekly Performance
The week’s top performer was the UVIX (2x Long VIX Futures ETF), which surged 15.21%, capitalizing on the spike in market volatility. Conversely, the SVIX (-1x Short VIX Futures ETF) and SVXY (ProShares Short VIX Short-Term Futures ETF) were the hardest hit, falling -8.35% and -4.24% respectively, directly reflecting the pain in short volatility strategies.
| Top Performers | ||
| Ticker | Fund Name | WTD Performance |
|---|---|---|
| UVIX | 2x Long VIX Futures ETF | 15.21% |
| VIXI | Defiance Enhanced Long Vol ETF | 12.64% |
| UVXY | ProShares Ultra VIX Short-Term Futures ETF | 11.71% |
| VXX | iPath Series B S&P 500 VIX Short-Term Futures ETN | 8.06% |
| VIXY | ProShares VIX Short-Term Futures ETF | 8.04% |
| Bottom Performers | ||
| SVIX | -1x Short VIX Futures ETF | -8.35% |
| SVXY | ProShares Short VIX Short-Term Futures ETF | -4.24% |
| WZRD | Opportunistic Trader ETF | -3.81% |
| ZVOL | Volatility Premium Plus ETF | -3.01% |
| SVOL | Simplify Volatility Premium ETF | -2.87% |
Analyzing the Weekly Flows
Total net flows for the week stood at ($241M), driven largely by significant profit-taking in the Long Volatility space. The “Alternative: Volatility – Long” category saw the largest outflows of ($303M), as investors likely sold into the strength of the week’s rally. Conversely, “Alternative: Volatility – Short” attracted the most inflows with $35M, a contrarian move given the category’s negative performance this week. Within the Absolute Return segment, flows were mixed but generally stable; “Managed Futures” led with $28M in inflows, while “Event Driven” was flat and “Multi-Strategy” saw negligible outflows.
Absolute Return Category Flows
| Category | Fund Count | AUM | 5 Day | 30 Day | 90 Day | YTD | 1 Year |
|---|---|---|---|---|---|---|---|
| Absolute Return – Managed Futures | 14 | $4.3B | $28M | $137M | $621M | $1,695M | $1,947M |
| Absolute Return – Event Driven | 9 | $0.5B | $0M | $9M | $1M | ($12M) | ($14M) |
| Absolute Return – Multi-Strategy | 11 | $1.9B | ($1M) | $12M | $293M | $307M | $464M |
Volatility Category Flows
| Category | Fund Count | AUM | 5 Day | 30 Day | 90 Day | YTD | 1 Year |
|---|---|---|---|---|---|---|---|
| Alternative: Volatility – Short | 5 | $1.1B | $35M | ($58M) | ($121M) | ($491M) | ($523M) |
| Alternative: Volatility – Long | 7 | $2.3B | ($303M) | ($567M) | ($211M) | $2,081M | $1,884M |
Top & Bottom 5 ETFs by 5-Day Flow
The top asset gatherer was the SVIX (-1x Short VIX Futures ETF), which collected $32M, a massive inflow representing over 23% of its AUM. This indicates strong conviction from traders betting on a volatility reversion. On the flip side, long volatility products saw heavy redemption activity, led by the UVXY and VXX, which shed ($107M) and ($81M) respectively.
| Inflows | ||
| Ticker | Fund Name | 5-Day Flow |
|---|---|---|
| SVIX | -1x Short VIX Futures ETF | $32M |
| DBMF | IMGP DBi Managed Futures Strategy ETF | $26M |
| SVOL | Simplify Volatility Premium ETF | $2M |
| FMF | First Trust Managed Futures Strategy Fund | $2M |
| FLSP | Franklin Systematic Style Premia ETF | $1M |
| Outflows | ||
| UVXY | ProShares Ultra VIX Short-Term Futures ETF | ($107M) |
| VXX | iPath Series B S&P 500 VIX Short-Term Futures ETN | ($81M) |
| VIXY | ProShares VIX Short-Term Futures ETF | ($59M) |
| UVIX | 2x Long VIX Futures ETF | ($53M) |
| VIXM | ProShares VIX Mid-Term Futures ETF | ($3M) |
Issuer League Table Update
iM maintains its lead as the top issuer by AUM, commanding 19.22% of the market share with $1.94B in assets. Simplify follows closely with 18.27% share. In terms of weekly flows, iM was also the most successful asset gatherer, bringing in $26M, while ProShares faced the steepest challenge, seeing ($169M) in net outflows.
Top 5 Issuers by AUM
| Brand | Fund Count | AUM | AUM Market Share |
|---|---|---|---|
| iM | 1 | $1.94B | 19.22% |
| Simplify | 3 | $1.85B | 18.27% |
| ProShares | 6 | $1.14B | 11.28% |
| New York Life Investments | 2 | $1.08B | 10.65% |
| iPath | 2 | $0.96B | 9.51% |
Top & Bottom 3 Issuers by 5-Day Flow
| Inflows | |
| Brand | 5-Day Flow |
|---|---|
| iM | $26M |
| First Trust | $2M |
| Simplify | $2M |
| Outflows | |
| Volatility Shares | ($21M) |
| iPath | ($81M) |
| ProShares | ($169M) |
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.
