Industrial Securities Strategy: How is the structure of net inflows of stock ETFs in 2024?

In the whole year of 2024, the cumulative net inflow of stock ETFs reached 1.01 trillion yuan, becoming an important source of incremental funds in A-shares. Among them, broad-based ETFs had a cumulative net inflow of 1 trillion yuan, contributing the majority of the incremental funds. In the broad-based ETFs, large-cap ETFs represented by the CSI 300 and CSI A500 collectively attracted 767.5 billion yuan, becoming the main source of incremental funds. Before October, a large amount of funds flowed into CSI 300 ETF, leading to a significant expansion of index funds. After October, CSI A500 ETFs were issued intensively and attracted a large amount of funds, replacing CSI 300 ETFs as the main source of inflows, with a total net inflow of 215.5 billion yuan for the whole year. In addition, innovation and entrepreneurship ETFs saw a relatively high inflow after the end of September, with a total net inflow of 69.8 billion yuan for the whole year. In industry/theme ETFs, dividend low volatility and consumer healthcare received more inflows. In terms of dividend low volatility, before the end of September, the market's risk preference was low, and the new "nine principles" reshaped investment concepts, attracting more configuration-oriented funds to dividend low volatility ETFs. During the market rebound at the end of September, after experiencing outflows, they once again attracted a large amount of funds during a period of rapidly declining interest rates at the end of the year, with a total net inflow of 35 billion yuan for the whole year. In terms of consumer healthcare, the reversal of policy direction at the end of September and the warming expectations of domestic demand repair led to some funds flowing into ETFs for layout in the consumer healthcare sector, with a total net inflow of 19.7 billion yuan for the whole year. Meanwhile, cyclical + financial real estate, TMT, and manufacturing ETFs experienced more outflows. This article was reprinted from the WeChat public account "Yaowang Houshi", edited by GMTEight: Chen Xiaoyi.