European ETFs: €3.9bn to equities; tech tops, energy outflows

European-listed equity ETFs attracted €3.91 billion in net inflows between May 25 and May 29, according to Trackinsight data. Information technology funds drew the largest sector intake at €416.2 million, while energy ETFs recorded the biggest sector outflow of €720.1 million.

Fixed income products were close behind equities, collecting €3.76 billion over the same week. Commodity ETFs added €89.0 million and currency ETFs gained €0.3 million. Cryptocurrency ETFs and multi-asset ETFs saw net withdrawals of €29.5 million and €79.4 million, respectively. Volatility ETFs were unchanged.

By sector, health care took in €63.6 million and consumer discretionary €29.1 million. Utilities and communication services recorded smaller inflows of €14.1 million and €0.4 million. Financials and real estate experienced outflows of €357.5 million and €169.8 million. Materials, industrials and consumer staples also posted net outflows.

Sector returns for the week favored technology, which rose 4.33%. Materials gained 4.05% and industrials climbed 3.55%. Energy underperformed, falling 5.30%. Utilities and consumer staples declined 2.15% and 2.25%, while health care and communication services were slightly lower.

Geographic flows showed demand concentrated in broad and U.S. exposures. World equity ETFs drew €2.72 billion and U.S.-focused products collected €1.42 billion. Developed-markets allocations added €496.3 million and South Korea-focused ETFs attracted €143.1 million. Eurozone ETFs recorded outflows of €502.3 million; Switzerland and Sweden saw outflows of €368.9 million and €217.3 million. Japan and India also posted weekly outflows.

Regionally, South Korea led performance with an advance of 8.47%, followed by Taiwan at 7.13% and developed Asia Pacific at 4.72%. The Philippines and Turkey were among the weaker markets, down 3.78% and 3.57% respectively.

Thematic flows were led by Space & Deep Sea strategies, which attracted €351.6 million. Disruptive Technology added €141.6 million and Smart City themes drew €95.5 million. Cybersecurity, robotics and strategic metals also recorded inflows. Net Zero 2050 posted the largest thematic outflow at €283.7 million. Solar energy was the top-performing theme, up 11.41% for the week; biotech & genomics and cloud computing also saw strong gains.

Within fixed income, corporate investment grade ETFs led with €1.78 billion in inflows. Aggregate investment grade products added €847.2 million, government investment grade €303.7 million, and corporate high yield €252.1 million. Government aggregate funds took in €248.7 million.

Multi-commodity ETPs recorded €103.6 million of inflows, while gold ETPs saw outflows of €49.9 million and agriculture products fell €23.3 million. In cryptocurrency ETPs, hyperliquid products added €9.6 million and near-term products attracted €6.6 million. Bitcoin and Ether products recorded outflows of €21.3 million and €8.6 million respectively.

Asset managers with the largest net inflows were iShares (€2.55 billion), State Street Investment Management (€1.20 billion), J.P. Morgan Asset Management (€617.7 million), VanEck (€558.6 million) and Invesco (€468.9 million). The most subscribed ETPs by net inflows included the SPDR MSCI All Country World UCITS ETF (€984.3 million), Amundi’s EUR Corporate Bond Active UCITS ETF (€774.6 million) and Vanguard’s FTSE All-World UCITS ETF (€604.9 million).

Top weekly performers among equity ETFs included an ARK genomic fund up about 12.2% and a solar energy ETF up about 11.9%. Korea-focused ETFs also posted strong returns, with several Korea equity products among the best performers for the week.