Investment Grade ETF Volume and Flows Update

Charts of the Week — June 6, 2018

Markets By Ryan Malo

An updated look at investment grade ETFs

The blue line in the chart below shows the 50-day moving average of investment grade bond volume. The green line shows investment grade bond ETF volume. The red line shows investment grade ETF volume as a percentage of the underlying cash market.

 

 

The chart below shows the year-to-date flows into investment grade ETFs.

  • The top panel (black) shows the Bloomberg investment grade option-adjusted spread (OAS). It is plotted inversely to mimic price.
  • The second panel (blue) shows the cumulative flows into investment grade ETFs.
  • The third panel (red) shows the change in assets since January 1 in all investment grade ETFs.
  • The bottom panel (green) subtracts the cumulative flows (blue) from total assets (red) to show a running P&L for the year-to-date flows.