European-listed exchange-traded products (ETPs), comprising exchange-traded funds (ETFs) and exchange-traded commodities (ETCs), attracted €47.3 billion in July. This represents a 28.5% increase from the €36.8 billion recorded in June, according to data from Morningstar.
Equity investing ETFs in Europe saw inflows of €34.2 billion during July, an increase from €29.9 billion in June. ETFs tracking bonds also experienced growth, attracting €8.8 billion in July, up from €7.7 billion the previous month.
Jose Garcia-Zarate, a senior principal at Morningstar, noted that money continued to flow into global and US-focused equity ETFs, reflecting investor conviction in the long-term artificial intelligence and technology-led growth story. Investors largely viewed market weakness as a buying opportunity, allocating capital to growth-oriented exposures.
Globally, flows into ETPs reached a record $362.6 billion in July, according to BlackRock. Flows into equity ETPs rose for the third consecutive month to $64.8 billion, and tech ETPs hit a record $60.5 billion, surpassing the previous month's record of $32.0 billion.
Among European-listed equity ETFs, global large cap blend equity ETFs attracted €10.1 billion in July, followed by US large cap blend equity at €8.6 billion. However, ETFs targeting US large cap growth stocks saw outflows of €1.4 billion, while US large cap value ETFs experienced outflows of €117 million.