Exchange-traded products (ETPs) had their best start to a year on record with $67.2 billion (€50 billion) in net new assets during the first three months of 2012, according to Blackrock's ETP landscape report. Inflows were 50% higher than in the previous quarter and 57% higher than in the first quarter of 2011.
“Better-than-expected economic figures enticed investors back into the market and encouraged them to consider risk assets, and the data demonstrates that those investors are increasingly choosing ETPs to access new opportunities and express their views,” said Jennifer Grancio, managing director at BlackRock.
Fixed income products were particularly popular, gaining $19.5 billion in new money. This beat the previous record for inflows into fixed income ETPs by a third. Blackrock said investors showed a preference for corporate bonds, which attracted 85% of the fixed income inflows across investment grade and high-yield products.
Blackrock's iShares subsidiary is the biggest provider of ETPs with nearly $700 billion in assets under management. State Street's SPDR brand is second with about $300 billion.
©2012 funds europe