After scrutinizing last week’s data on ETFs, one significant standout is the SPDR Portfolio S&P 500 High Dividend ETF (Symbol: SPYD), which saw a hefty $265.4 million dollar outflow – a 3.9% decrease week over week (from 180,150,000 to 173,200,000).
Notably, among SPYD’s top holdings, Ford Motor Co. (Symbol: F) decreased by 0.9%, Digital Realty Trust Inc (Symbol: DLR) by 0.7%, and Public Service Enterprise Group Inc (Symbol: PEG) by 0.1%. This substantial outflow has sparked investor concern.
The 52-week performance chart illustrates SPYD’s price movements compared to its 200-day moving average, showcasing a low of $32.88 per share and a high of $42.18. The latest trade stood at $37.94.
ETFs, similar to stocks, are traded through the buying and selling of ‘units’ instead of shares. These ‘units’ can be traded like stocks and also created or destroyed to meet investor demand. Monitoring weekly changes in shares outstanding allows investors to track notable inflows and outflows in ETFs, affecting the individual components within those ETFs.
Understanding these flows is crucial, as the creation of new units would necessitate the purchase of underlying holdings, while the destruction of units would involve selling underlying holdings.Discover 9 other ETFs that also experienced significant outflows here »
