Seeking Alpha

Investors pull $18B from SPDR S&P 500 ETF

  • Amid a stock market continuing to set new high's State Street's (STT) SPDR S&P 500 ETF (SPY) has already seen $18B in outflows YTD, surpassing the $16B pulled out of the $159B fund in all of 2013. Does the divergence signal a disconnect between market highs and sentiment, or - as the bull market ages - are money managers becoming more focused on picking specific sectors and stocks.
  • Maybe more of a trader's ETF, SPY net flows tend to be more volatile than those of Vanguard's S&P 500 ETF (VOO) which is nearly identical in size. The VOO has seen inflows of $1.3B this year.
  • Earlier: It's a stock-pickers market
Comments (7)
  • Brian Bobbitt
    , contributor
    Comments (1905) | Send Message
     
    I would be inclined to say that the 'out takes', is extremely healthy. Profit taking, as it were, is the best way to stop an overheated market moving up.
    I have seen the market now make new highs constantly and would presume that it will continue until the products being produced stop being purchased.
    I don't see inventories building, I see orders being filled and stockpiling not the word of the day.
    I see airports jammed to capacity, trucks crowding the roads, and everywhere I go in America business appears to be vibrant.
    Yup, the media can show you a burned out section of Detroit and a slum area of Washington DC, but for every nasty picture, I can take 10 for growth.
    Where we are failing is in politics. I say America could and should be leading the world to where is should be if things changed drastically in Washington, D. C.
    America is doing just fine in spite of ourselves.
    Remember: We have met the enemy, and he is us.
    Capt. Brian
    The Lost Navigator
    10 Mar, 01:49 PM Reply Like
  • OptionManiac
    , contributor
    Comments (3337) | Send Message
     
    You took the words right out of my mouth. I would be more worried if money was just pouring into the fund.
    10 Mar, 02:20 PM Reply Like
  • quabbin
    , contributor
    Comments (127) | Send Message
     
    Former stock broker?
    10 Mar, 10:12 PM Reply Like
  • OptionManiac
    , contributor
    Comments (3337) | Send Message
     
    Me? No, terrible salesman.
    11 Mar, 06:54 AM Reply Like
  • CARMEL
    , contributor
    Comments (35) | Send Message
     
    WHAT AM I MISSING.

     

    YOU DESCRIBE TWO FUNDS EACH BASED ON THE S&P '500'.

     

    WHY WOULD THERE BE SUCH A MAJOR DIFFERENCE.?

     

    HOW DO THE FUNDS DIFFER ?
    10 Mar, 03:41 PM Reply Like
  • Jamin Chen
    , contributor
    Comments (133) | Send Message
     
    Small investors like you and I are putting money into the market via VOO while someone else is getting out of the market via SPY. Very interesting.
    10 Mar, 04:53 PM Reply Like
  • alkmaar
    , contributor
    Comments (30) | Send Message
     
    How do you know small investors are putting money into VOO instead of SPY?
    10 Mar, 09:01 PM Reply Like
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