The US exchange-traded fund (ETF) industry owned assets worth $82 billion by January 2002, according to the Investment Company Institute, the national association of the investment company industry. Assets of exchange-traded funds decreased by $990 million in January 2002. Assets of domestic ETFs decreased by $929 million, while assets of international ETFs decreased by $61 million. The value of shares issued exceeded that of shares redeemed by $256 million in January. Gross issuance in January fell $4.78 billion from $8.43 billion in December, and redemptions in January fell to $4.52 billion from $4.82 billion in December. Sixty-eight ETFs tracked domestic stock indexes in January and held assets of $79.05 billion. Among the domestic ETFs, 35 used broad-based indexes and 33 targeted sector or industry indexes.
The Institute’s monthly statistical collection also includes the value of shares issued and redeemed by exchange-traded funds. Statistics contained in the Institute’s monthly ETF report have been obtained from information provided to ICI by exchange-traded funds. Trust-issued receipts, such as Holding Company Depository Receipts (HOLDRS), are not included in the report because they are not issued by registered investment companies. The figures released by the ICI are as follows:
Assets of Exchange-traded Funds by Type (millions of dollars)January 2002 December 2001 November 2001Domestic (Broad-based) 70,618 71,774 68,523Domestic (Sector/Industry) 8,430 8,202 7,742Total Domestic 79,048 79,977 76,265Global/International 2,955 3,016 2,581All 82,003 82,993 78,846
ETF Report/2
Value of Shares Issued and Redeemed by All Exchange-traded Funds (millions of dollars)January 2002 December 2001 NovemberGross Issuance 4,777 8,432 5,557Gross Redemptions 4,521 4,824 3,295Net Issuance 256 3,608 2,262
Number of Exchange -traded Funds by TypeJanuary 2002 December 2001 November 2001Domestic (Broad-Based) 35 35 34Domestic (Sector/Industry) 33 33 33Total Domestic 68 68 67Global/International 34 34 34All 102 102 101