- The First Trust Enhanced Short Maturity ETF (NASDAQ:FTSM) garnered $1B in inflows in just one day last week, and has AUM of $1.7B only three months after launch. The only other actively-managed ETF to draw that kind of number that quickly was Pimco's Total Return ETF.
- “It’s mind-boggling how quickly this fund has gained assets,” says ETF.com's Dave Nadig. “This is the ETF equivalent of money markets. This is where people are parking cash.”
- The fund aims to hold mostly investment-grade debt with maturity of less than three years. The strategy is similar to Pimco's Enhanced Short Maturity ETF (NYSEARCA:MINT), but the First Trust offering, says Nadig, is more inclined to invest in riskier paper. To wit, about 5% of FTSM's assets are invested in First Trust's Senior Loan ETF (NASDAQ:FTSL).