Asia Surge Dominates ETF Flows

China led all geographies in the past week. Net inflows hit $9.1B, with a flow imbalance of 70.5 — well into buying-pressure territory. Japan added $7.6B. South Korea pulled in $5.4B and Taiwan $5.4B. The Asia trade is the dominant story right now.

This is a notable shift from the three-month picture. Over 3m, the U.S. was the runaway leader at $359.5B in net inflows. China ranked seventh at just $19.7B. The weekly surge into Chinese and broader Asian ETFs suggests a rotation out of U.S.-centric positioning — at least in the short term. Hong Kong is the exception: it bled $998M in the past week and $9.4B over three months.

Geography Flows

Asia is sweeping the weekly leaderboard. Taiwan's flow imbalance sits at 94.7, meaning almost all activity is buying. Emerging Markets broadly added $3.5B. Global Ex-U.S. brought in $3.0B. India is the outlier — a $185M outflow this week, with a flow imbalance of just 12.6, signalling strong selling pressure. Over 3m, India was similarly muted.

Sector Rotation

Information Technology dominated sector flows this week at $7.3B net. That is more than eight times the next sector. Over 3m, Tech also led by a massive margin: $77B versus $6.0B for Health Care in second place. Industrials grabbed $841M this week, holding steady versus its $3.2B three-month trend.

The reversals are worth watching. Energy pulled in $493M this week — but over 3m it is actually net negative at -$5.3B. That is a sharp weekly bounce against a bearish trend. Financials flipped the other way: a $258M outflow this week, despite being positive over 3m at $3.7B. Materials also shed $299M this week after a roughly flat 3m period.

Asset Class & Strategy

Equities remain the dominant destination. $46.5B flowed into equity ETFs in the past week alone. Fixed income added $16.2B. Both asset classes show buying pressure — equity imbalance at 61.6, fixed income at 69.8. Commodities were essentially flat this week at -$24M, but the 3m picture shows a significant -$31.3B outflow. Investors have been quietly exiting commodity exposure.

Active strategies are gaining ground fast. Over 3m, Active ETFs pulled in $225B — equal to 51% of what Vanilla passive strategies attracted. This week, Active added $5.5B with a 70.1 imbalance. Value strategies flipped negative this week ($1.2B inflow) against a -$1.4B three-month net, while Momentum held positive on both timeframes. ESG attracted $1.2B this week and $9.9B over three months.

The overall tone is risk-on, with money rotating into Asian equities and technology, while commodities and select European markets face sustained selling pressure.