The total market size of ETFs has reached a new milestone, surpassing 5.8 trillion yuan. Among them, the year-end ETF ranking competition has begun, with A500ETF gaining significant traction. Latest data shows that the total size of A500ETFs in the market has reached 245.935 billion yuan, with a net inflow of 32.7 billion yuan in the past week, accounting for nearly 70% of the total net inflows into equity ETFs.
Leading products have performed exceptionally well. Huatai-PineBridge A500ETF now stands at 41.2 billion yuan, becoming the first ETF tracking this index to exceed 40 billion yuan—a 10-billion-yuan leap achieved in just one week. Southern A500ETF saw a weekly net inflow exceeding 10 billion yuan, ranking second with a size of 35.684 billion yuan. ChinaAMC A500ETF, Guotai A500ETF, and E Fund A500ETF each surpassed 20 billion yuan, while GF, Fullgoal, and Harvest A500ETFs exceeded 10 billion yuan.
Since Huatai-PineBridge A500ETF emerged as the top performer in late June this year, the competition among these products has intensified at the end of each quarter. Not only are leading products vying for dominance, but competition within the same exchange is even fiercer. For example, Huatai-PineBridge A500ETF leads in both overall size and Shanghai Stock Exchange rankings, while Southern A500ETF dominates the Shenzhen Stock Exchange.
Overall, A500-related ETFs have seen a net inflow of 49.821 billion yuan in the past month, making them the most favored broad-based ETFs. Trading volumes have surged, bringing the A500ETF competition into the spotlight.
The A500ETF gained widespread attention on December 17 when the Shanghai Composite Index showed a rebound signal, triggering a bullish reversal. While many focused on the surge in trading volume of CSI 300 ETFs—speculating about "national team" intervention—five A500ETFs dominated the top five spots in trading volume. Investors remarked, "A500 is hot again!"
In fact, the year-end competition began in early December. Huatai-PineBridge A500ETF has seen steadily increasing trading volumes since December 12, with daily averages exceeding 10 billion yuan. In terms of net inflows, A500ETFs have also taken center stage. From December 15 to 19, the total net inflow into ETFs reached 76.036 billion yuan, pushing the ETF market size above 5.8 trillion yuan. Equity ETFs alone absorbed 48.717 billion yuan, with A500-related ETFs accounting for 32.7 billion yuan—nearly 70% of the total equity ETF inflows.
With massive capital inflows, the A500ETF size has rebounded, approaching the 250-billion-yuan mark for the first time since December 2024. A500ETFs represent a milestone in the development of broad-based ETFs. The first batch was launched before the current bull market, during a period of market downturn, and quickly became a strategic focus for fund companies. Within just four months from September to December 2024, the on-market size of two batches totaling 22 A500ETFs exceeded 250 billion yuan. Guotai and Southern A500ETFs each surpassed 20 billion yuan, while nine others—including ChinaAMC, GF, Fullgoal, Huatai-PineBridge, and Invesco Great Wall—exceeded 10 billion yuan, making A500ETFs the second-largest broad-based ETF category.
Despite subsequent expansions—with 45 A500-related ETFs now listed—the market has seen consolidation, leading to a "leader + multiple strong players" landscape. Huatai-PineBridge A500ETF continues to widen its lead, reaching 41.2 billion yuan as of December 19. Southern A500ETF follows closely at 35.684 billion yuan, recording the highest weekly net inflow of over 10 billion yuan. ChinaAMC A500ETF ranks third at 28.715 billion yuan, with a weekly inflow of 4.2 billion yuan. Guotai and E Fund A500ETFs also remain above the 20-billion-yuan threshold.
The A500ETF competition highlights the fierce "arms race" in ETFs. Compared to late 2024, the rankings and structure have shifted significantly: 1. **Leadership change**: Guotai A500ETF initially surged from 2 billion to 10 billion yuan in just seven days, maintaining dominance until mid-year when Huatai-PineBridge A500ETF took the lead. 2. **ETF count doubles**: From 22 to 45, but with stagnant size growth, leading to more mini-funds—13 A500ETFs now under 200 million yuan, seven below 100 million yuan. 3. **Fewer 10-billion-yuan ETFs**: Down from 11 to 8 compared to late 2024.
In contrast, the largest broad-based ETF, CSI 300 ETFs, grew from under 1 trillion yuan to 1.22 trillion yuan, partly due to a 210-billion-yuan inflow during the April 7 U.S.-China tariff tensions, where state-backed funds intervened.
While many fund companies anticipate future "national team" inflows into A500ETFs, no official timeline exists for A500 options or derivatives, and large-scale buying has yet to materialize. Market speculation suggests A500ETF options may launch in Q1 next year, driving aggressive marketing efforts.
Fund firms view the A500ETF landscape as unsettled, with opportunities beyond Huatai-PineBridge. Some even call it a "must-win battle," especially after missing out on CSI 300 ETFs. With regulatory emphasis on passive products post the "25 Guidelines for High-Quality Fund Development," leading firms are doubling down on ETFs as a strategic priority. The 5.8-trillion-yuan ETF war is far from over.
Comments