5 ETFs That Were Most Loved by Investors Last Week

Last week, ETFs shed about $5.3 billion in capital, pushing year-to-date inflows to $388.7 billion. U.S. equity ETFs led the way higher with $5.3 billion outflows, closely followed by $1.5 billion in U.S. fixed-income ETFs and $1.2 billion in international equity, per etf.com.

As such, SPDR Bloomberg 1-3 Month T-Bill ETF BIL, iShares Short Treasury Bond ETF SHV, JPMorgan Ultra-Short Income ETF JPST, ProShares UltraPro QQQ TQQQ and Vanguard S&P 500 ETF VOO dominated the top creation list last week.

Wall Street declined last week as worries about Fed’s aggressive interest rate hikes continued to weigh. Jerome Powell recently said that the Fed would need to keep interest rates high enough to slow the economy “for some time” in order to curb inflation. While a tight monetary policy "for some time" will bring down inflation from its 40-year high, it means slower growth, a weaker job market and "some pain" for households and businesses.

Additionally, the latest job report bolstered the case for rate hikes. The economy added 315,000 jobs in August, while the unemployment rate ticked up to 3.7% from 3.5% (read: Why Low-Volatility ETFs Should Outperform in September).

Further, weak factory data survey from Europe and Asia intensified fears of a global economic slowdown. Economic activity in China, the world's second-largest economy, has been declining and the property sector is also suffering. Euro zone inflation for August also rose to another record high on Sep 8, solidifying the case for a hefty rate hike by the European Central Bank.

We have detailed the ETFs below:

SPDR Bloomberg 1-3 Month T-Bill ETF (BIL)

SPDR Bloomberg 1-3 Month T-Bill ETF topped asset flow creation last week, gathering $2.4 billion in capital. It seeks to provide exposure to zero-coupon U.S. Treasury securities with a remaining maturity of 1-3 months. It follows the Bloomberg 1-3 Month U.S. Treasury Bill Index, holding 15 securities in its basket. Both average maturity and adjusted duration come in at 0.15 years each (read: 5 ETFs That Investors Loved the Most Last Week).

SPDR Bloomberg 1-3 Month T-Bill ETF has AUM of $19.2 billion and an average daily volume of 6 million shares. It charges 14 bps in annual fees and has a Zacks ETF Rank #3 (Hold) with a Medium risk outlook.

iShares Short Treasury Bond ETF (SHV)

iShares Short Treasury Bond ETF saw an inflow of $1.9 billion last week. It provides exposure to U.S. Treasury bonds that mature in less than 1 year and follows the ICE Short US Treasury Securities Index. iShares Short Treasury Bond ETF holds 51 securities in its basket, with both average maturity of 0.34 years and an effective duration of 0.33 years.

iShares Short Treasury Bond ETF has amassed $20.8 billion in its asset base while trading in a solid volume of 4 million shares a day. It charges 15 bps in annual fees and has a Zacks ETF Rank #4 (Sell) with a Medium risk outlook (read: Higher Yields to Fuel Rally in These ETFs).

JPMorgan Ultra-Short Income ETF (JPST)

JPMorgan Ultra-Short Income ETF accumulated $848.2 million in capital last week. It invests mainly in investment-grade, U.S. dollar-denominated fixed, variable and floating-rate debt. JPMorgan Ultra-Short Income ETF holds 634 bonds in its basket with an average duration of 0.27 years.

JPMorgan Ultra-Short Income ETF has AUM of $21.6 billion in its asset base while trading in a good volume of around 4.3 million shares a day. It charges 18 bps in annual fees.

ProShares UltraPro QQQ (TQQQ)

ProShares UltraPro QQQ gathered $540 million in capital last week. It offers thrice the returns of its daily performance of the NASDAQ-100 Index, charging 95 bps in annual fees.

ProShares UltraPro QQQ has $21.6 billion in AUM and trades in a heavy volume of 139 million shares, on average.

Vanguard S&P 500 ETF (VOO)

Vanguard S&P 500 ETF accumulated $523 million in capital. It tracks the S&P 500 Index and holds 503 stocks in its basket, each accounting for more than 7.1% of assets. Vanguard S&P 500 ETF is heavy on the information technology sector while healthcare, consumer discretionary, financials and communication services round off its next four spots with a double-digit allocation each.

Vanguard S&P 500 ETF charges investors 3 bps in annual fees and trades in an average daily volume of 4 million shares. It has AUM of $265 billion and a Zacks ETF Rank #3 with a Medium risk outlook.

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Vanguard S&P 500 ETF (VOO): ETF Research Reports
 
ProShares UltraPro QQQ (TQQQ): ETF Research Reports
 
iShares Short Treasury Bond ETF (SHV): ETF Research Reports
 
SPDR Bloomberg 13 Month TBill ETF (BIL): ETF Research Reports
 
JPMorgan UltraShort Income ETF (JPST): ETF Research Reports
 
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