VWO

Weekly ETF Flows: EEM Asset Rise Continues

Investors kept pouring money into the iShares MSCI Emerging Markets Index Fund (NYSEArca:EEM) in the past week, the latest piece of a dynamic Vanguard unleashed in October when it said that its giant emerging markets fund that competes with EEM would stop using the same index as the iShares fund sometime next year.

The better part of $900 million flowed into EEM in the past week ended Thursday, Dec. 27 on top of more than $1 billion the week before, according to data compiled by IndexUniverse. The grand total of flows into EEM since the eve of Vanguard's Oct. 2 stood at $8.62 billion, While the Vanguard MSCI Emerging Markets ETF (NYSEArca:VWO) meanwhile has suffered outflows of $885 million since the announcement.

ETF industry sources have argued that the positive flows for EEM relative to VWO-essentially a reversal of a broad pattern of the past few years-might be related to the fact that institutions still favor MSCI benchmarks. That would mean VWO, which next year will stop using the MSCI Emerging Markets Index that EEM uses, could be falling out of favor among large investors who are preparing for the change.

The entire move back toward EEM is deep enough to have brought the iShares fund to the brink of being a bigger asset gatherer than VWO in all of 2012. VWO still leads, with year-to-date inflows of $10.59 billion compared to EEM's year-to-date creations of $10.26 billion, meaning just $33 million separate the two funds with two days left in the year.

Overall, investors plowed $7.37 billion into ETFs in the five days ended Thursday, Dec. 27, with $5.65 billion going into U.S. equities-$5.7 billion of that into the SPDR S&P 500 ETF (NYSEArca:SPY) alone.

But total U.S-listed ETF assets dipped to less than $1.342 trillion from a record of $1.350 trillion in the prior week, as the fiscal cliff worries pulled the Dow Jones industrial average down 1.4 percent in the week.

Top 10 Creations (All ETFs)

Top 10 Redemptions (All ETFs)

ETF Weekly Daily Flows By Asset Class

Top 10 Volume Surprises, Funds 'gt;$50 mm AUM

Top 10 Weekly Performers, Excluding Leverage/Inverse Funds and 'lt;1,000 Shares Traded

Bottom 10 Weekly Performers, Excluding Leverage/Inverse Funds and 'lt;1,000 Shares Traded

Top 10 YTD Performers

Bottom 10 YTD Performers

Disclaimer:All data as of 6 a.m. Eastern time the date the article is published. Data is believed to be accurate; however, transient market data is often subject to subsequent revision and correction by the exchanges.

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Copyright ® 2012 IndexUniverse LLC . All Rights Reserved.

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.


The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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