25 August – 29 August 2025

Summary:

ETF investors remained highly active last week, adding $18.3 billion to U.S.-listed funds in the five days ending August 22. This pushed year-to-date ETF inflows past $750 billion, putting 2025 on track to potentially set a new annual record.

U.S. equity ETFs led the charge with $8.7 billion in net inflows. The Vanguard S&P 500 ETF (VOO) topped the leaderboard, attracting $2.5 billion as U.S. markets hovered near record highs.

International equity ETFs also performed well, particularly the Vanguard FTSE Developed Markets ETF (VEA), which brought in $940 million. VEA has been a strong performer in 2025, reaching an all-time high last week and delivering a 25% year-to-date return—more than double that of U.S. equity benchmarks.

Fixed income ETFs attracted nearly as much investor attention, bringing in $6.9 billion. Markets responded to Fed Chair Jerome Powell’s Jackson Hole speech, interpreting his balanced tone as a signal that rate cuts may arrive as early as next month. This sparked widespread bond buying.

In the week ending August 22, U.S.-listed ETFs saw $18.3 billion in net inflows across all asset classes, representing a 0.15% increase in total assets under management (AUM) of $12 trillion.

U.S. equity ETFs led with $8.7 billion in inflows, reflecting continued investor confidence in domestic markets. U.S. fixed income ETFs followed closely, adding $6.9 billion, as expectations of potential interest rate cuts drove demand for bonds.

International fixed income ETFs saw strong inflows of $2.2 billion, suggesting growing interest in global bond exposure. International equity ETFs also attracted $1.5 billion, though that represented just 0.07% of their total AUM.

Leveraged ETFs recorded $1.5 billion in inflows, while alternative strategies and asset allocation ETFs brought in smaller amounts of $261 million and $137 million, respectively.

On the downside, currency ETFs saw the largest outflows, shedding $1.6 billion (a 0.92% drop in AUM), likely due to reduced hedging activity or shifts in macro views. Inverse ETFs lost $643 million, and commodities ETFs dropped $674 million, continuing a trend of declining interest in non-equity inflation hedges.

Overall, flows show strong risk-on sentiment with investors favoring equities and bonds while pulling back from hedges like commodities, currencies, and inverse strategies.

Key beneficiaries included:

• Capital Group Municipal High-Income ETF (CGHM): +$1.8 billion
• Vanguard Intermediate-Term Corporate Bond ETF (VCIT): +$1.2 billion
• iShares 0-3 Month Treasury Bond ETF (SGOV): +$1.1 billion

Other segments saw solid inflows as well:

• International fixed income ETFs: +$2.2 billion
• Leveraged ETFs: +$1.5 billion

Overall, investor appetite remained strong across asset classes, with flows reflecting optimism in equity markets and a growing belief in near-term easing by the Federal Reserve.

Here’s a summary of the Top 10 ETF creations (net inflows) from the latest data:

1. Vanguard S&P 500 ETF (VOO) led the pack with $2.51 billion in net inflows, reinforcing continued demand for broad U.S. large-cap exposure. Its assets under management (AUM) now stand at $723.8 billion, up 0.35%.
2. Capital Group Municipal High-Income ETF (CGHM) saw the second-highest inflows with $1.83 billion, growing its AUM by an impressive 88.44% to $2.07 billion, reflecting strong demand for tax-advantaged income.
3. Vanguard Intermediate-Term Corporate Bond ETF (VCIT) added $1.15 billion, boosting AUM to $56.86 billion (2.03% growth), highlighting interest in credit duration exposure amid shifting interest rate expectations.
4. iShares 0-3 Month Treasury Bond ETF (SGOV) brought in $1.06 billion, reaching $55.96 billion AUM (up 1.89%), indicating ongoing demand for cash-like instruments with low risk.
5. Vanguard FTSE Developed Markets ETF (VEA) attracted $939.83 million, growing AUM to $171.86 billion (0.55% increase), suggesting renewed interest in international developed markets.
6. iShares Core S&P 500 ETF (IVV) had $838.15 million in inflows, with modest AUM growth to $651.47 billion (0.13%).
7. SPDR Portfolio S&P 500 ETF (SPLG) received $808.81 million, pushing its AUM to $81.71 billion (up 0.99%).
8. Vanguard Growth ETF (VUG) gained $625.94 million in inflows, increasing AUM to $183.02 billion (0.34% growth), reflecting appetite for growth stocks.
9. Schwab U.S. Large-Cap Growth ETF (SCHG) added $600.26 million, with AUM rising 1.28% to $46.95 billion.
10. Tema S&P 500 Historical Weight ETF (DSPY) saw $593.33 million in inflows, growing its AUM to $13.71 billion (4.33% increase), suggesting interest in alternative index strategies.

Key Trend: Investors continue to favor U.S. large-cap equities, tax-efficient income, and low-duration bonds.

ETFs Weekly Summary

Name	CODE	Closing Price	∆ Week Price ($)	1 Mth Return (%)	1 Yr Return (%)	Running Yield(%)	Market Cap (in Mill.)
BetaShares Australian High Interest Cash ETF	AAA.AXW	50.24	0.04	0.33	4.28	4.24	4253.08
BetaShares Australian Government Bond ETF	AGVT.AXW	42.47	0.15	0.81	3.59	3.58	1042.66
BetaShares Australian Major Bank Hybrids Index ETF	BHYB.AXW	9.91	0.01	0.81	4.75	6.44	617.41
iShares Core Cash ETF	BILL.AXW	100.74	0.04	0.33	4.35	4.22	952.76
SPDR S&P/ASX Australian Bond Fund ETF	BOND.AXW	26.02	0.05	0.66	4.17	1.67	44.79
BetaShares Legg Mason Australian Bond Fund	BNDS.AXW	24	0.03	0.51	4.60	3.90	865.95
BetaShares Australian Investment Grade Corporate Bond ETF	CRED.AXW	23.83	0.08	1.31	7.42	4.71	1441.00
Daintree Hybrid Opportunities ETF	DHOF.AXW	9.71	-0.02	0.10	4.13	3.61	51.25
Elstree Hybrid Fund ETF	EHF1.CXA	5.16	-0.04	0.00	0.00	5.73	41.06
Daintree Core Income Fund ETF	DCOR.AXW	51.4	0.03	0.82	0.00	1.00	52.01
VanEck Vectors Australian Floating Rate ETF	FLOT.AXW	25.04	0.04	0.54	5.28	4.83	839.43
BetaShares Sustainability Leaders Diversified Bond Hedged ETF	GBND.AXW	20.71	0.06	0.00	2.09	2.99	225.21
BetaShares Global Government Bond 20+ Year ETF – Currency Hedged	GGOV.AXW	13.07	0.09	1.48	-8.23	3.10	163.03
Janus Henderson Sustainable Credit Active ETF	GOOD.AXW	51.28	0	0.57	1.14	4.70	2.32
SPDR S&P/ASX Australian Government Bond Fund ETF	GOVT.AXW	24.78	0.06	0.49	3.63	2.51	65.86
BetaShares Active Australian Hybrids Fund ETF	HBRD.AXW	10.16	0.03	0.56	5.57	6.17	2503.34
BetaShares Interest Rate Hedged Australian Investment Grade Corporate Bond ETF	HCRD.AXW	25.61	0.08	0.97	8.73	4.66	70.38
iShares Core Composite Bond ETF	IAF.AXW	103.87	0.18	0.58	4.15	2.87	3282.76
iShares Treasury ETF	IGB.AXW	99.44	0.31	0.57	3.42	2.99	433.55
iShares Global High Yield Bond ETF	IHHY.AXW	95.6	0.38	0.67	7.57	5.86	304.35
iShares Core Global Corporate Bond ETF	IHCB.AXW	92.99	0.37	0.75	3.85	5.33	287.84
iShares J.P. Morgan USD Emerging Markets Bond ETF	IHEB.AXW	77.08	0.27	1.64	6.99	6.53	108.98
iShares Government Inflation ETF	ILB.AXW	127.04	0.46	1.55	1.73	1.61	955.97
iShares Enhanced Cash ETF	ISEC.AXW	100.75	0.02	0.32	4.46	4.41	356.48
Betashares Australian Composite Bond ETF	OZBD.AXW	45.39	0.16	0.80	4.97	3.81	792.68
VanEck Vectors Australian Corporate Bond Plus ETF	PLUS.AXW	17.38	0.06	1.10	7.07	3.97	408.79
BetaShares Australian Bank Senior Floating Rate Bond ETF	QPON.AXW	26.18	0.03	0.66	5.56	4.70	1722.65
Russell Australian Select Corporate Bond ETF	RCB.AXW	20.47	0.03	0.69	5.75	4.27	318.96
Russell Australian Government Bond ETF	RGB.AXW	19.43	0.09	0.78	3.01	2.02	253.52
Russell Australian Semi-Government Bond ETF	RSM.AXW	21	-0.02	0.24	4.79	0.75	59.58
VanEck Vectors Australian Subordinated Debt ETF	SUBD.AXW	25.26	0.03	0.58	6.05	5.72	2738.97
VanEck 1-3 Month US Treasury Bond ETF	TBIL.AXW	51.36	-0.91	0.18	8.60	4.27	143.40
US Treasury Bond 7-10 Year Currency Hedged ETF	US10.AXW	51.42	0.48	1.74	1.36	2.99	27.81
Betashares Inflation Protected US Treasury Bond (Hedged) ETF	UTIP.AXW	26.13	0.25	1.55	3.62	2.96	189.72
Vanguard Australian Corporate Fixed Interest ETF	VACF.AXW	52.3	0.08	0.83	6.03	3.68	720.10
Vanguard Australian Fixed Interest Index ETF	VAF.AXW	46.52	0.08	0.58	4.20	2.97	2816.60
Vanguard Global Aggregate Fixed Interest Index Hedged ETF	VBND.AXW	42.29	0.16	0.76	2.35	2.50	3411.99
Vanguard International Credit Securities Index ETF	VCF.AXW	39.2	0.24	0.93	3.63	3.05	172.95
Vanguard Ethically Conscious Global Aggregate Bond Index Hedged ETF	VEFI.AXW	42.68	0.17	0.40	2.08	2.93	77.45
Vanguard Australian Government Bond Index ETF	VGB.AXW	47.21	0.12	0.53	3.78	2.86	1172.64
Vanguard International Fixed Interest Index ETF	VIF.AXW	38.84	0.16	0.44	1.25	2.02	911.86
ActiveX Ardea Real Outcome Bond Fund ETF	XARO.AXW	24.47	-0.06	0.20	4.99	1.46	180.69

^{*Closing price as at end of week. Returns in AUD before fees}