Which exchange-traded funds are drawing the most investment?

Last month, investors continued to favor equity ETFs despite increased market volatility

Which industries and ETFs received the largest inflows?

The MSCI World Index, which accounts for 85% of the total market capitalization of all developed markets worldwide, only increased by 0.5% in July, despite the stuttering equity markets. In contrast, flows into exchange-traded products were robust.

According to data from investment research firm Morningstar, flows into European-listed exchange-traded funds (ETFs) and exchange-traded commodities (ETCs) totaled 47.3 billion in July, up 28.5 percent from 36.8 billion the month before.

Although there is obviously no assurance that this will continue in the future, fund flows can provide a broad indication of how investors feel about the market at a particular moment.

Equity-focused European-listed exchange-traded funds (ETFs) drew 34.2 billion in flows in July compared to 29.9 billion in June. Bond-tracking ETFs brought in 8.8 billion in July, up from 7.7 billion in June.

"Despite a softer month for US equities, money continued to flow into both global and US-focused equity ETFs, reflecting investor conviction in the long-term artificial intelligence and technology-led growth story," stated Jose Garcia-Zarate, senior principal at Morningstar. Watch the entire video here. "Most investors continued to allocate capital to growth-oriented exposures, viewing market weakness as a buying opportunity."

There was some divergence in the allocations to various fund styles, even tho overall ETF flows remained robust.

The largest inflows and outflows were observed in the ETF sectors listed in Europe.

According to Morningstars analysis, blend equity ETFswhich hold a mix of growth and value stockssaw some of the biggest inflows among equity ETFs listed in Europe in July.

During the month, flows into US large cap blend equity ETFs totaled 8.6 billion, while flows into global large cap blend equity ETFs totaled 10.1 billion.

ETFs with a mix of US large- and small-cap stocks experienced the biggest flows, while those with a growth or value focus experienced divergent flows. US large cap value ETFs saw outflows of 117 million dollars, while US large cap growth stock-focused ETFs saw the biggest outflows (1.4 billion dollars).

Source: Morningstar Direct Swipe to scroll horizontally. Statistics as of July 31, 2026.

What was the state of the worldwide ETP flows in July?

The information on flows into ETFs and ETCs listed in Europe was in line with the picture of global ETP flows.

According to data from asset manager BlackRock, global flows into exchange-traded products (ETPs), which comprise ETFs and ETCs, reached a record £362.6 billion in July.

According to BlackRocks' analysis, flows into equity ETPs increased to £64.8 billion for the third consecutive month.

ETPs with a tech focus saw more flows than any other industry. In July, flows into tech ETPs hit a record £60.5 billion, shattering the previous record of £32.0 billion set the month before.