ETFs Set Record $50 Billion Allocation Despite Market Turbulence

November 4th, 2022, 2:29 PM

One investment trend is proving remarkably consistent as the market faces volatility: dividend exchange-traded funds (ETFs) are accomplishing record inflows as the stock market weathers the storm. 

So far, there is a record $50 billion allocation, which according to Bloomberg Intelligence, is notable in a world where cash-like treasuries are offering investors the highest yields in over a decade. The cash flowing into dividend-focused ETFs already has increased 25 percent higher than the record set for 2021.  Bloomberg Intelligence predicts that high-dividend ETFs could double their inflow record this year as investors seek alternatives. 

WisdomTree US High Dividend Fund and Schwab US Dividend Equity ETF are among the top-performing ETFs. WisdomTree has returned 2.9 percent this year, luring in $406 million. Schwab has attracted nearly $12 billion despite losing 8.5 percent in net inflows. 

Financial Advisor Transitions consults advisors nationwide to explore employment transition options and to preserve and protect their practice in any transition that they make.

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Blog

ETFs Set Record $50 Billion Allocation Despite Market Turbulence

November 4th, 2022, 2:29 PM

One investment trend is proving remarkably consistent as the market faces volatility: dividend exchange-traded funds (ETFs) are accomplishing record inflows as the stock market weathers the storm. 

So far, there is a record $50 billion allocation, which according to Bloomberg Intelligence, is notable in a world where cash-like treasuries are offering investors the highest yields in over a decade. The cash flowing into dividend-focused ETFs already has increased 25 percent higher than the record set for 2021.  Bloomberg Intelligence predicts that high-dividend ETFs could double their inflow record this year as investors seek alternatives. 

WisdomTree US High Dividend Fund and Schwab US Dividend Equity ETF are among the top-performing ETFs. WisdomTree has returned 2.9 percent this year, luring in $406 million. Schwab has attracted nearly $12 billion despite losing 8.5 percent in net inflows. 

Financial Advisor Transitions consults advisors nationwide to explore employment transition options and to preserve and protect their practice in any transition that they make.

Return to All