S&P 500 ETF Nears $150 Billion as Assets Reach All-Time High

ETF Trends

While the exchange traded fund universe experienced slight outflows in June, the industry is back on its annual record-setting pace so far in July, with the SPDR S&P 500 ETF (SPY) accruing almost $150 billion in assets under management.

Attracting $10.3 billion so far this month, according to IndexUniverse data, the SPDR S&P 500 ETF holds $149.7 billion in assets, the largest it has ever been. Year-to-date, the fund has brought in a net $5.7 billion in assets.

In comparison, the iShares Core S&P 500 ETF (IVV) saw $2.5 billion in net inflows year-to-date and lost $647.7 million so far this month. The Vanguard S&P 500 ETF (VOO) has brought in $2.5 billion so far this year, and the fund added $443.9 million over July.

The SPDR SPY ETF is the first U.S.-listed ETF, launched in 1993. SPY is different from the other two major S&P 500 ETFs in that it is set up as a unit investment trust which must replicate its index and has limits such as prohibiting lending out underlying shares to other firms. IVV and VOO, on the other hand, use strategies such as derivatives and portfolio lending, which allows it to make a small, additional profit. [Comparing Three S&P 500 ETFs]

Looking at their performances, SPY has gained 18.8% year-to-date, VOO increased 18.9% and IVV rose 18.8%. The S&P 500 Index has provided a 18.9% return so far this year.

Previously, the SPDR Gold Trust (GLD) briefly surpassed SPY as the largest ETF when gold prices were trading at a record high in 2011. GLD is now the fifth largest U.S.-listed ETFs, with $39 billion in assets. The gold fund has suffered from a steep decline in gold prices and heavy redemptions. [Largest Bullion ETF’s Assets Cut in Half on Gold Plunge, Outflows]

For more information on the S&P 500, visit our S&P 500 category.

Max Chen contributed to this article.

The opinions and forecasts expressed herein are solely those of Tom Lydon, and may not actually come to pass. Information on this site should not be used or construed as an offer to sell, a solicitation of an offer to buy, or a recommendation for any product.

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