The first half of the year was all about fixed income ETFs: the asset class added $102 billion in net assets, on pace to be one of the largest years of inflows ever. That brings assets under management in fixed income ETFs in the U.S. to over $1.3 trillion — speaking to the widespread adoption of the vehicle to manage fixed income exposures.2 This is part of a global trend, in which we’ve seen fixed income ETF AUM surpass $2 trillion.3
Domestic equities are also on solid footing, adding $128 billion in net assets in the first half of the year. What started as a slow year for equities was quickly reversed in Q2, with ~75% of inflows year-to-date coming in the second quarter as equities continued to rally.4