During the third quarter of 2018, the investor demand for equity ETFs was significantly high, with a net issuance of approximately $67.95 billion. This was a strong increase from the previous quarter that saw an issuance of equity ETFs of $25.11 billion. However, the third quarter saw quite an outflow from the Commodity ETFs.
The domestic equity ETF had a net issuance of approximately $62.64 billion, which is almost 82% higher than the inflow it had during the previous quarter. With respect to the world equity ETF, it also had a solid performance as the previous quarter showed an outflow and the third quarter demonstrated inflows of $5.3 billion, though not nearly as high as the figures seen in quarters previous to the second quarter.
Net hybrid ETF issuance was approximately $417 million, which is slightly higher than the previous quarter which exhibited an inflow of $337 million.
Fixed Income ETFs (Taxable and Municipal) had a net issuance of approximately $21.8 billion, which is higher than the inflows generated during the first quarter of 2018, but 29% lower than those in the second quarter.
Commodity ETFs suffered an outflow in this quarter, as it did in the last, however the recent loss was more magnified as there was an outflow of approximately $2.96 billion, which is much more than what has happened in the last few quarters.
Overall, investor demand for ETFs was approximately $87.22 billion, an increase from the previous quarter suggesting greater demand. This demand was, for the most part, derived from the equity ETFs as it is generating almost 80% of the total ETF inflow. The Commodity ETF is the only one that suffered an outflow.