BlackRock saw inflows into its European ETF range slow in Q1 as investors turned away from fixed income due to changing US rate cut expectations.
According to data from ETFbook, the world’s largest asset manager captured $15.2bn inflows last quarter, a 29.4% market share, taking its overall assets under management (AUM) to $830bn.
A record year for fixed income ETFs was a key driver behind the firm’s $71bn inflows in 2023, with the US giant now commanding a 44.7% share of the market.
With markets not pricing in as many interest rate cuts from the Federal Reserve this year, demand for fixed income ETFs has waned, especially in the last two months.
After strong inflows of $8.4bn in January and a record 2023, demand slowed to $3.4bn and $1.3bn in February and March, respectively.
In particular, the iShares Core S&P 500 UCITS ETF (CSPX) saw $4.8bn inflows over the quarter, the most across…