ETFs
Top Sector ETFs in June: Software Leads Returns, Chipmakers Attract Most Inflows – Adobe (NASDAQ: ADBE), Alnylam Pharmaceuticals (NASDAQ: ALNY)
June closed on a positive note for the stock market, with the S&P 500, followed by SPDR S&P 500 Exchange Traded Fund SPY up 3.2% despite significant disparities sectoral and industrial performances.
The technology sector, as tracked by the Selected Technology Sector SPDR Fund XLK led all 11 S&P 500 sectors in performance last month, rising 7.7% and its record monthly gain this year.
In contrast, public services lagged behind, with SPDR Fund for Selected Public Services XLU fell 6.3%, marking the worst month since September 2023.
The best performing ETFs in the sector in June
THE iShares Expanded Tech-Software Sector ETF IGV rose 11.3% last month, ranking first among sector ETFs.
Right behind him was the VanEck Semiconductor Exchange Traded Fund (ETF) SMH, which climbed 8.4%, reflects strong momentum in the semiconductor sector.
Since bottoming in October 2023, the VanEck Semiconductor ETF has gained 87%, and more than 200% since October 2022, reflecting the spectacular growth of AI-driven stocks.
Securing third place in terms of monthly performance, the SPDR S&P Biotech Exchange Traded Fund XBI gained 4%.
In the software sector, the most successful players include: Adobe Inc. The ADBE, which jumped by 24.9%, CrowdStrike Holdings, Inc. CRWD with an increase of 22.1%, and Oracle Company ORCL, up 20%.
Broadcom Inc. AVGO leads chipmakers with 21% increase. Universal Display Company OLED followed closely with a 19.7% increase, and Qorvo, Inc. QRVO recorded a gain of 18%.
Among chip manufacturers, Broadcom Inc. AVGO, Universal Display Company OLED and Qorvo, Inc. QRVO led the gains, returning 21%, 19.7% and 18%, respectively.
In the field of biotechnology, Scilex Holding Company SCLX rose 78.8%, making it the biggest gainer in the sector. Alnylam Pharmaceuticals, Inc. ALNY jumped 63.7%, while Avidity Biosciences, Inc. RNA saw a sharp increase of 52%.
Top performing sector ETFs by inflows in June
Looking at the flow of funds, the VanEck Semiconductor Exchange Traded Fund (ETF) The fund has become a top choice for investors, attracting more than $1 billion according to Tradingview data and recording its ninth consecutive month of inflows. Year-to-date, the fund has recorded $4.60 billion in net inflows.
THE iShares Expanded Tech-Software Sector ETF raised about $480 million in June, ending a six-month streak of outflows and recording its highest monthly inflows since September 2022. Still, its year-to-date net flows are still negative, down $1.15 billion.
THE iShares Biotechnology Exchange Traded Fund (ETF) IBB collected $148 million in inflows last month, reflecting strong investor interest. Another sector that saw strong inflows was the Global X ETF for Copper Miners COPX, which attracted about $130 million.
Read more :
Photo: Shutterstock