Inside the ETF events that ruled the broader market in the third quarter.

With ultra-low yields in government debt around the globe, it seems fixed income investors are taking higher-yielding assets any way they can get it. This has been evident in Europe where high-yield bond sales are reaching $11 billion in the month of January alone.

Despite U.S. Treasury yields at lows with only long-term issues like the 30-year bond yielding over 2%, it’s hard to fathom that in other parts of the world like Germany, there is negative-yielding debt. ...

This has been another banner year for exchange-traded funds (ETFs). On a global basis, the industry recently topped $6 trillion in combined assets under management with over $4 trillion of that sum residing here in the U.S.Another interesting element of 2019's ETF ebullience is that fixed income ETFs are on pace to add more assets than their equity-based counterparts for the first time since the global financial crisis. As of Dec. 10, five of the 10 best ETFs in terms of assets added this year are bond funds.The other prominent theme has been investors' ongoing affinity for inexpensive ETFs. While not all of the best ETFs are extremely cheap, there are plenty of strong funds out there with low expense ratios and those fees are falling. Additionally, basically every brokerage firm of note eliminated commissions on ETFs this year, so the asset class is becoming even more cost-effective to embrace.InvestorPlace - Stock Market News, Stock Advice & Trading Tips * The 10 Worst Dividend Stocks of the Decade With that in mind, let's have a look at seven of the best ETFs in terms of adding capital this year. One note: not all of the ETFs mentioned here will be among the top 10 for assets added. Some will be impressive asset gainers on a percentage basis. Vanguard Total International Bond ETF (BNDX)Expense Ratio: 0.09% per year, or $9 on a $10,000 investment.Three interest rate cuts by this year by the Federal Reserve are certainly compelling investors to embrace domestic fixed income strategies, but Vanguard Total International Bond ETF (NASDAQ:BNDX) is the best ETF when it comes to fixed income flows. As of Dec. 10, this Vanguard fund has seen 2019 inflows of $10.41 billion, a total surpassed by just three other ETFs.BNDX, which is up 7.10% this year, can be a complement to domestic aggregate bond funds, providing investors with some international diversity. Timing has contributed to making BNDX one of the best ETFs this year because the fund targets the Barclays Global Aggregate ex-USD Float Adjusted RIC Capped Index (USD Hedged), positioning it to benefit from dollar strength.The fund features a massive lineup of more than 6,100 bonds and an average duration of 8.3 years, putting it at the higher end of intermediate-term territory. Credit risk is also minimal as the bulk of BNDX's holdings carry ratings that are at the higher end of investment-grade territory. Japan and France combine for 31.6% of the fund's geographic exposure. iShares Core MSCI EAFE ETF (IEFA)Expense Ratio: 0.07%Keeping with the theme of some of the best ETFs for international exposure, on the equity side, the iShares Core MSCI EAFE ETF (CBOE:IEFA) has to be part of the conversation. Investors have added $10.20 billion to this product year-to-date, a figure surpassed by just four other funds.After ranking among the best ETFs for adding assets for several years in a row, IEFA has $71.75 billion in assets under management, making it significantly larger than the iShares MSCI EAFE ETF (NYSEARCA:EFA), the fund IEFA was designed to be the cost-effect alternative to. * Top 5 Tech Stocks of the 2010s Decade IEFA holds 2,461 stocks, giving it a deep bench compared to some other international equity funds. Many market observers are pointing to 2020 as the year ex-U.S. developed markets outpace American equities, but IEFA has been an admirable performer this year, returning 19.20% with modest volatility. iShares Edge MSCI USA Quality Factor ETF (QUAL)Expense Ratio: 0.15%The iShares Edge MSCI USA Quality Factor ETF (CBOE:QUAL) probably won't finish in the top 10 among new assets added, but with year-to-date inflows of $6.06 billion, more than a third of which have arrived this quarter, QUAL is one of the best ETFs among factor strategies regarding packing on assets in 2019.QUAL, which follows the MSCI USA Sector Neutral Quality Index, is another example of a strategy at the right place at the right time. The quality factor has been in style this year as investors have sought alternatives to growth and low volatility. Plus, the spate of non-yet-profitable initial public offerings (IPOs) is reminding investors that profitability matters. QUAL is proving as much as its beating the S&P 500 by 460 basis points this year.QUAL is home to 125 stocks and seven of its top 10 holdings are members of the Dow Jones Industrial Average. Quality and low volatility are distinct factors, but QUAL has reduced volatility traits, as highlighted by a standard deviation of just 12.35%. If there's a risk with this best ETF heading into 2020 it's that quality stocks are now richly valued, but that doesn't mean big declines are imminent. iShares Edge MSCI Min Vol USA ETF (USMV)Expense Ratio: 0.15%Speaking of the low volatility factor, funds with dedicated exposure are among the best ETFs in terms of performance and adding capital this year. The iShares Edge MSCI Min Vol USA ETF (CBOE:USMV) is certainly part of that group as its $12.41 billion in 2019 inflows are exceeded by just one other ETF.The primary trade-off with low volatility funds is giving up some gains to guard against downside, but that scenario isn't perpetual. Just look at USMV, which is higher by more than 25% this year, trailing the S&P 500 by a barely noticeable margin. That's not a one-off occurrence, either. Due to the lower drawdowns, USMV can outperform traditional equity benchmarks over long periods of time. * 7 of the Decade's Fastest-Growing Dividend Stocks A surprising element to USMV's success is that the fun isn't overly reliant on the traditional low volatility sectors, such as real estate and utilities. Nor does it run away from technology, a group perceived as being high beta. In fact, USMV devotes almost 18% of its weight to tech stocks, more than its combined utilities and real estate exposure. Financial Select Sector SPDR (XLF)Expense Ratio: 0.13%The Financial Select Sector SPDR (NYSEARCA:XLF) won't be among the best ETFs for assets added for 2019, but it sure has picked up momentum in the fourth quarter, raking in an impressive $2.17 billion while surging nearly 7%.The fact that XLF is up almost 27% this year, outpacing the S&P 500 in the process, when considering that the Federal Reserve has lowered interest rates three times. Good news on that front: the Federal Reserve appears to be holding off on rate cuts for the time being due to the sturdiness of the U.S. economy.XLF may not match this year's performance in 2020, particularly if presidential candidates take aim at Wall Street, but the fund has potential to deliver decent gains backstopped by its value purview and rising dividends in the financial services sector. ProShares S&P 500 Dividend Aristocrats ETF (NOBL)Expense Ratio: 0.35%The ProShares S&P 500 Dividend Aristocrats ETF (CBOE:NOBL) is one of the best ETF stories among dividend funds this year for multiple reasons. Yes, it's impressive that investors have added $1.61 billion to NOBL this year, a healthy percentage of the fund's $5.51 billion in assets under management as of Sept. 30.NOBL's 57 holdings are companies that have raised dividends for at least 25 consecutive years, giving the fund a quality tilt and volatility reducing capability. However, NOBL's performance has mostly matched that of the broader, accentuating its low volatility characteristics even more. Another perk: although NOBL emphasizes dividend growers, its roster isn't richly valued. * 7 'A'-Rated Stocks to Buy Before 2020 Stellar performances by dividend names this year "hasn't made dividend-paying equities on the whole particularly expensive, according to an analysis by Ed Clissold, chief U.S. strategist at Ned Davis Research," reports Chris Matthews for MarketWatch. iShares 20+ Year Treasury Bond ETF (TLT)Expense Ratio: 0.15%With a duration of 18.15 years, the iShares 20+ Year Treasury Bond ETF (NASDAQ:TLT) is one of the best ETFs for a rate-cutting environment. The fund is proving as much this year with a gain of 17.37%, which is arguably amazing considering that this Treasury fund comes with less risk than equities.Investors are certainly hip to the TLT story as the fund has hauled in $8.01 billion in new assets this year, making it one of the best ETFs on that basis.Expecting TLT to replicate that performance again next year may be asking a bit much, particularly if the Fed doesn't lower interest, but barring a surprise spike in long-term rates, TLT should again be steady.Todd Shriber owns shares of XLF. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * These 7 S&P 500 Stocks Will Deliver a Repeat Performance in the Next Decade * 7 Tech Stocks to Stuff Your Stocking With * 7 Sinfully Good Casino Stocks That Could Win the Jackpot in 2020 The post 7 ETFs That Investors Charged Into This Year appeared first on InvestorPlace.

With ultra-low yields in government debt around the globe, it seems fixed income investors are taking higher-yielding assets any way they can get it. This has been evident in Europe where high-yield bond ...

Treasury yields moved higher following the announcement of a “phase one” deal agreed to in principle between the U.S. and China on Thursday. However, what yields will do in 2020 will depend on who you ask.

2019’s record year for bond prices helped investors who were looking to capitalize on price gains, but it did no favors for those relying on yield for income purposes. Treasury yields hit lows as the central ...

This article was originally published on ETFTrends.com. While the next FOMC meeting isn't until March, investors and analysts alike are still considering the impact of the January meeting, where the Fed opted to hold rates steady, and if it will cut rates in the future.

Headlines moving the stock market in real time.

The coronavirus is helping to keep already-low yields even lower as more investors pile into bonds, thus driving prices up. For fixed income investors, this means looking to other corners of the bond market ...

One of the great things about Vanguard, aside from the low costs, is that when the issuer's index, mutual, and exchange traded fund (ETF) lineups are added, there are plenty of choices for wide varieties of investors, including those on the more risk-averse side of the ledger.Of course, costs, as in low costs, are one of the biggest reasons why Vanguard is a behemoth in the index fund universe and the second-largest U.S. ETF issuer. The company makes clear that it is on the investor's side when it comes to fees. The less investors lose to fees, the more they earn over long holding periods."Imagine you have $100,000 invested. If the account earned 6% a year for the next 25 years and had no costs or fees, you'd end up with about $430,000," said Vanguard. "If, on the other hand, you paid 2% a year in costs, after 25 years you'd only have about $260,000. That's right: The 2% you paid every year would wipe out almost 40% of your final account value. 2% doesn't sound so small anymore, does it?"InvestorPlace - Stock Market News, Stock Advice & Trading Tips * 10 Stocks Under $5 to Buy for Fall For conservative investors, the good news is that there are plenty of Vanguard funds that meet their criteria. Those offerings generally come with below-average fees. With that in mind, here are some of the best Vanguard funds for conservative investors to nibble at. Vanguard Dividend Growth Fund (VDIGX)Source: Shutterstock Expense ratio: 0.22% per year, or $22 on a $10,000 investment.Conservative investors often embrace dividend strategies. The recently-reopened Vanguard Dividend Growth Fund (MUTF:VDIGX) is an excellent avenue with which to express that view. This Vanguard fund's costs are decent, but more importantly, it's a no-load mutual fund with a track record of nearly three decades and a manager that has been in place for 13 years.There a few reasons why VDIGX is a compelling bet among Vanguard funds. First, the yield on 10-year Treasuries recently slipped below the dividend yield on the S&P 500, indicating investors continue to lack adequate compensation with government debt. Second, the market is clearly favoring defensive strategies, including steady dividend payers.Finally, some market observers believe swaps markets are not pricing in the right level of S&P 500 dividend growth for 2020. That growth is likely to come in better than currently expected, which could be a nice jolt for this Vanguard, assuming broader markets perform well in 2020. Vanguard Tax-Exempt Bond ETF (VTEB)Source: Shutterstock Expense ratio: 0.08%For conservative investors, it doesn't get much better than municipal bonds and the Vanguard Tax-Exempt Bond ETF (NYSEARCA:VTEB). It's Vanguard's initial foray into the world of municipal bond ETFs. It has been a successful one at that as highlighted by VTEB's $5.8 billion in assets under management. This Vanguard fund, which tracks the S&P National AMT-Free Municipal Bond Index, holds 4,202 muni bonds, a massive number relative to competing strategies.Yield usually isn't the name of the game with investment-grade munis, but this Vanguard fund's 2.30% yield is better than what investors get on 10-year Treasuries, plus VTEB's credit risk is almost non-existent as 92% of its holdings are rated AAA, AA, or A. * 10 Cheap Dividend Stocks to Load Up On This Vanguard fund has an average duration of 5.4 years. That puts VTEB in intermediate-term territory, which is just fine as it's likely the Federal Reserve cuts interest rates again this year, perhaps up to two more times. Vanguard Total International Bond Index Fund ETF (BNDX)Source: Shutterstock Expense ratio: 0.09%For the conservative investor looking for to diversify away from U.S. government debt, the Vanguard Total International Bond Index Fund ETF (NASDAQ:BNDX) is a fund that makes a lot of sense, and not just because the ETF has been on a streak of hitting record highs this year.With low credit risk, this Vanguard fund lobs off a 30-day SEC yield of 2.87%. Plus, many of the ETF's marquee country weights already have or are likely to join the U.S. in lowering interest rates, thereby increasing the value of the underlying bonds in this portfolio."Japanese bonds account for nearly 20% of the fund's while European debt represents nearly 57%. Japan won't be raising interest rates anytime and the European Central Bank (ECB) is pushing for easier monetary policy," according to Nasdaq.Another reason to like this Vanguard: it has a currency hedge, meaning it's designed to benefit from strength in the U.S. dollar or weakness in the currencies its holdings are denominated in. Vanguard Global ex-US Real Estate ETF (VNQI)Source: Shutterstock Expense ratio: 0.12%All that talk about lower interest rates, declining Treasury yields and investors playing defense is lifting domestic real estate funds, but don't sleep on international equivalents. The Vanguard Global ex-US Real Estate ETF (NASDAQ:VNQI), which features exposure to more than 30 countries, is up 10.2% year-to-date and yields 3.41%.VNQI "focuses on closely tracking the index's return, which is considered a gauge of overall non-U.S. real estate investment trusts' and operating companies' returns and offers high potential for investment growth; share value rises and falls more sharply than that of funds holding bonds," according to Vanguard. * 15 Growth Stocks to Buy for the Long Haul Home to 615 real estate stocks, this Vanguard fund can be considered an idea for conservative risk-takers due to its 20.40% exposure to emerging markets and its status as a mid-cap fund. Investors eyeing this Vanguard fund may want to wait because it allocates more than 12% of its weight to Hong Kong, a market battered in recent weeks due to geopolitical headwinds. The protests in Hong Kong are aimed at China, more than 10% of VNQI's weight, so wait a bit on a this Vanguard fund. Vanguard Total Corporate Bond ETF (VTC)Source: Shutterstock Expense ratio: 0.07%Among corporate bond ETFs, it's hard to find a larger lineup than the nearly 6,000 bonds featured in the Vanguard Total Corporate Bond ETF (NASDAQ:VTC). VTC arrives at that massive lineup by holding the three other Vanguard corporate bond ETFs. The Vanguard Short-Term Corporate Bond ETF (NASDAQ:VCSH) is VTC's largest holding at a weight of 36.20%While VTC's largest allocation is to a short-term Vanguard fund, its exposure to intermediate- and longer-dated corporate bonds is enough to prop its yield up to a decent 3.36%. And that's with nearly half its holdings rated AAA, AA or A.VTC has an average duration of 7.3 years, which is below the 9.08 years on the Markit iBoxx USD Liquid Investment Grade Index. With interest rates falling and VTC's lower duration relative to that rival index, the Vanguard fund is trailing that benchmark this year, but if VTC rebalances away from short-term corporates, its leverage to declining interest rates would increase. Vanguard Mid-Cap Value Index Fund Admiral Shares (VMVAX)Source: Shutterstock Expense ratio: 0.07%The Vanguard Mid-Cap Value Index Fund Admiral Shares (MUTF:VMVAX) carries a $3,000 minimum investment, but this Vanguard is worth the cost of admission for conservative investors willing to bet on a value rebound while getting some mid-cap exposure."Value stocks are those that may be temporarily undervalued by investors," according to Vanguard. "These companies typically grow at a slower pace than the broader group of mid-sized companies. One of the fund's key risks is that mid-capitalization stocks tend to be more volatile than large-company stocks." * 10 Best Stocks to Buy and Hold Forever This Vanguard fund holds 206 stocks, nearly a quarter of which hail from the financial services sector. Consumer staples and discretionary names combine for over 26% of VMVAX's roster. Vanguard High Dividend Yield ETF (VYM)Source: Shutterstock Expense ratio: 0.06%One of the largest and least expensive dividend ETFs, the Vanguard High Dividend Yield ETF (NYSEARCA:VYM) is a solid bet for yield seekers and dividend growth investors. That's the case because while VYM yields almost 3.05%, that yield isn't so high as to imply reason for concern. Additionally, VYM does not feature excessive allocations to high-yield sectors like real estate and utilities. That's good news because there are risks associated with high-yield stocks."Focusing on high-yielding stocks can be dangerous because these names may be under financial distress and at risk of cutting their dividend payments," according to Morningstar. "Many pay out a large share of their earnings and have a narrow buffer to cushion these payments if their business deteriorates compared with lower-yielding counterparts."VYM holds nearly 420 stocks, many of which have a value tilt. The near-term risk with this Vanguard fund is its almost 19% weight to the financial services sector, which is being pressured by falling interest rates.Todd Shriber doesn't own any of the aforementioned securities. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 10 Cheap Dividend Stocks to Load Up On * The 10 Biggest Losers from Q2 Earnings * 5 Dependable Dividend Stocks to Buy The post 7 Vanguard Funds for Conservative Investors appeared first on InvestorPlace.

Inside the ETF asset flow of 2019.

The ETF asset report for the third quarter of 2019 shows S&P's win and emerging markets' loss.

As global central banks embark on a rate cut journey, global bond yields took a hit, benefiting these bond ETFs.

The winners reflect a diverse and maturing ETF industry.

The central bank’s decision to keep rates unchanged doesn’t help investors looking for yield, but they can look overseas for higher-yielding assets via ETFs like the   Vanguard Total International Bond Index Fund ETF Shares (BNDX) . BNDX seeks to track the performance of a benchmark index that measures the investment return of non-U.S. dollar-denominated investment-grade bonds. BNDX employs an indexing investment approach designed to track the performance of the Bloomberg Barclays Global Aggregate ex-USD Float Adjusted RIC Capped Index (USD Hedged).

The ETF industry reached a new high of $6 trillion in AUM, gathering around $840 billion in assets through October since the start of this year.

Inside the ETF asset flow report for the month of September.

“I think one of the biggest stories we’ve seen, particularly from last year or so, has been flows into fixed-income products. It feels like folks are starting to understand that market, and the market continues to evolve,” Ryan Ludt, Global Head of ETF Capital Markets and Index Relations, Vanguard, said at the Inside ETFs conference. According to XTF data, Vanguard fixed-income ETFs attracted $34.6 billion in net inflows in the past year. Among its most popular bond ETF plays, the Vanguard Total Bond Market ETF (BND A) attracted $9.9 billion in inflows over the past year. BND provides investors with broad exposure to U.S. investment-grade bonds and can act as a core component in any long-term investment strategy, helping investors produce reliable income. The Vanguard Total International Bond Index Fund ETF Shares (BNDX A-) also brought in $9.6 billion in inflows over the past year. BNDX seeks to track the performance of a benchmark index that measures the investment return of international non-U.S. dollar-denominated investment-grade bonds. Additionally, the ETF includes a U.S. dollar currency hedge to limit the harmful effects of foreign exchange or forex swings. Additionally, the Vanguard Short-Term Government Bond ETF (VGSH A) saw $3.4 billion in net inflows. VGSH tracks short-term Treasuries, which provides in a portfolio carrying very little interest-rate and credit risk. While this fund will not generate spectacular results, it will deliver consistent returns and provide strong downside protection.

Investors poured money into global equity funds at the fastest rate in almost two years last week, putting the spotlight on these ETF areas.