XLV - The Big Three and index-tracking ETFs take in the bulk of 2023's inflows

2024-01-17 12:55:39 ET

The 2023 trading year was not only good for market returns but also for exchange traded fund issuers, as the industry as a whole was able to attract a little over $930B in investor cash.

Exchange traded funds domiciled in the United States took in the most significant chunk of this capital. For 2023, U.S.-based funds amassed $636B in 2023.

Breaking down the influx of cash into the ETF market even further, a large block of cash was accumulated by passive index funds, which fared better than the actively managed space. Over the course of 2023, passive index tracking funds brought in $782.5B while actively managed and semi-actively managed funds were able to take in $147.9B.

With index funds representing the bulk of the capital inflows to the ETF world in 2023, it's no surprise that the top exchange traded fund issuers that attracted the most amount of net new money were Wall Street's “Big Three.”

Those three issuers were BlackRock, Vanguard, and State Street Global Advisors. BlackRock absorbed $206B, Vanguard attracted $202B, and State Street Global Advisors brought in $96.5B. Below is a list of each of the Big Three’s five largest ETFs:

BlackRock

• iShares Core S&P 500 ETF ( NYSEARCA: IVV ) $403.2B
• iShares Core MSCI EAFE ETF ( IEFA ) $105.6B
• iShares Core U.S. Aggregate Bond ETF ( AGG ) $101.6B
• iShares Russell 1000 Growth ETF ( IWF ) $81.1B
• iShares Core S&P Mid-Cap ETF ( IJH ) $75.1B

Vanguard

• Vanguard S&P 500 ETF ( NYSEARCA: VOO ) $377.7B
• Vanguard Total Stock Market ETF ( NYSEARCA: VTI ) $348.7B
• Vanguard FTSE Developed Markets ETF ( VEA ) $121.4B
• Vanguard Value ETF ( VTV ) $105.6B
• Vanguard Growth ETF ( VUG ) $105.1B

Street Global Advisors

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