ETF Inflows Top $750B in 2026, On Track for $2T
ETF inflows topped $750 billion in 2026, putting the industry on pace to match last year’s $1.5 trillion and potentially reach $2 trillion by year-end, according to VettaFi research head Todd Rosenbluth.
VettaFi’s head of research, Todd Rosenbluth, reported in a podcast interview with host Nate Geraci that ETF inflows have exceeded $750 billion so far in 2026. The figure puts the industry on pace to match last year’s record $1.5 trillion in net inflows and creates the possibility of roughly $2 trillion by year-end.
Flows shifted in the second quarter toward risk-on exposures. More than 30% of Q2 inflows went into fixed-income ETFs, led by corporate bond products from Vanguard and Schwab. Growth-oriented funds also drew fresh money: the Schwab U.S. Large-Cap Growth ETF (SCHG), the Vanguard Growth ETF (VUG) and the SPDR Portfolio S&P 500 Growth ETF (SPYG) each attracted more than $2 billion during the quarter.
Thematic ETFs recorded notable inflows as well. Rosenbluth identified the Roundhill Meme Stock ETF (MEME), the Procure Space ETF (UFO) and the Global X U.S. Infrastructure Development ETF (PAVE) among top recipients of investor cash during the period.
Two industry milestones are nearing completion. The Vanguard S&P 500 ETF (VOO) has taken in about $56 billion year to date and now holds roughly $960 billion in assets, tracking toward becoming the first ETF to hold $1 trillion. Vanguard has posted roughly $205 billion in year-to-date flows versus BlackRock’s about $135 billion, yet Vanguard still trails BlackRock by under $70 billion in total assets.
Rosenbluth credited Vanguard’s flow strength to broad, core products such as VOO, the Vanguard Total Stock Market ETF (VTI) and the Vanguard Total Bond Market ETF (BND). BlackRock’s recent inflows skewed toward more tactical products: the iShares 0-3 Month Treasury Bond ETF (SGOV) and the iShares Expanded Tech-Software Sector ETF (IGV) drew money while the iShares 20+ Year Treasury Bond ETF (TLT) and the iShares Russell 2000 ETF (IWM) experienced outflows. He also noted that the iShares Bitcoin Trust ETF (IBIT) could become a distinguishing asset for BlackRock.
Speakers on the podcast warned that fee differences do not always predict performance. The iShares Core MSCI Emerging Markets ETF (IEMG) outperformed the Vanguard Emerging Markets Stock Index Fund ETF (VWO) by about 17% over the past year. That gap reflected index construction: IEMG includes South Korea while VWO does not, and the iShares MSCI South Korea ETF (EWY) rallied more than 80% in the same period.
A thematic comparison showed a similar outcome. The Global X Defense Tech ETF (SHLD) charges roughly 15 basis points less than the REX Drone ETF (DRNZ), yet DRNZ outpaced SHLD by more than 1,000 basis points so far in 2026.
The episode also featured Andrew Beer, managing member of DBI, who discussed the iMGP DBi Managed Futures Strategy ETF (DBMF). DBMF has grown from about $1 billion to more than $3.7 billion in assets. Beer described managed futures as a strategy with low correlation to traditional stocks and bonds and noted the approach produced gains in 2022 when many traditional portfolios fell. He introduced the Simplify DBi CTA Managed Futures Index ETF (SDMF) as a lower-cost, passive option intended for model portfolios.
For context, ETFs attracted roughly $1.5 trillion in net inflows last year. With more than $750 billion recorded so far in 2026 and the second-quarter shifts across fixed income, growth and thematic funds, market participants cited the current momentum in discussions about industry flows.
Disclosure: VettaFi LLC is the index provider for UFO and DRNZ and receives an index licensing fee. UFO and DRNZ are not issued, sponsored, endorsed or sold by VettaFi, and VettaFi has no obligation or liability related to the issuance, administration, marketing or trading of those products.
