Research Weekly - ETFs Swing to an Inflow as Kinks are Worked Out

March 05, 2024

IN TODAY'S ISSUE:The spot ETF complex flips to net inflows this week as GBTC outflows level off but have yet to wind down. Traders are showing a preference for trading spot ETFs over the underlying spot markets compared to the futures-based ETFs and underlying futures market. This week saw a flip in net flows for the total complex, from net outflows to net inflows. Since the conversion to an ETF, GBTC has seen redemptions for a cumulative total of $5.8B, about 20% of the $28.6B AUM it had at the onset. This is a measure of success of the spot ETFs to us and indicates investor preference to trade the spot ETFs over the underlying spot markets whereas in the case of futures and the futures ETFs, the preference is reversed.

The source of this news is from NYDIG