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Assets in exchange-traded funds (ETFs) hit a record high of $17.85 trillion at the end of August, rising 20.2% year-to-date, according to ETF research firm ETFGI.

The record AUM was fueled by another strong month of inflows, as ETFs attracted $183.04 billion in net inflows in August. This brings YTD net inflows to $1.27 trillion, which is already a record high just 8 months into the year. The previous high was $1.07 trillion in 2024.

Also, August saw a significant shift in where the investments are flowing, as, for the first time since April, three of the top five most attractive ETFs were fixed income. Here are the 5 ETFs that saw the most August net inflows.

• Vanguard S&P 500 (VOO): $9.172 billion
• iShares Core S&P 500 (IVV): $4.763 billion
• Vanguard Short-Term Corporate Bond (VCSH): $4.150 billion
• iShares iBoxx $ Investment Grade Corporate Bond (LQD): $3.550 billion
• iShares 0-3 Month Treasury Bond (SGOV): $3.534 billion.

The last time three fixed income ETFs were in the top 5 was April, when tariffs were announced and the stock market crashed. The move shift to fixed income funds in August suggests investors are wary of equity markets, perhaps taking note of high valuations and various expert warnings of a bubble.

Fixed income funds see robust inflows

August marked the 75th straight month of ETF net inflows. Equity ETFs still gathered the most assets last month with $75.25 billion in net inflows. That brings the YTD total to $553.1 billion, which is below last year’s pace of $590.4 billion.

The difference has been more than made up by fixed income ETFs, which brought in $48.43 billion in August. Year-to-date, fixed income ETFs have gathered $264.9 billion in net inflows, ahead of the $221.89 billion gathered through August last year.

Also, commodity ETFs saw $7.68 billion in net inflows in August, with YTD inflows reaching $52.64 billion. That’s up from $1.29 billion in net outflows reported YTD in 2024.

Further, actively managed ETFs remain popular, drawing $53.4 billion in net inflows in August. Year-to-date, active ETFs have $377.1 billion in net inflows, up significantly from $212.6 billion in 2024.

The world’s largest ETF is …

Interestingly, the iShares Ethereum Trust ETP (ETHA) had the sixth most inflows in August with $3.382 billion coming in, ahead of the iShares Bitcoin Trust (IBIT). The iShares Physical Gold ETC (GLDN) was the most popular commodities ETF with $877 million in net inflows last month.

The Vanguard S&P 500 ETF extended its lead as the world’s largest ETF as it now has $734 billion in assets. The SPDR S&P 500 ETF (SPY) is second with about $660 billion, while the iShares Core S&P 500 ETF is right behind it at $652 billion.

iShares maintains its position as the largest ETF provider with $5.1 trillion in global assets under management, representing a 28.3% market share.  Vanguard is second with $3.87 trillion and a 21.7% share. The SPDR family of ETFs from State Street is third with $1.82 trillion, accounting for 10.2% of the market.

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