Every day 200 million dollars pouring into one exchange-traded fund

Less than a month ago from Nuveen Growth Opportunities ETF (NUGO) there were almost no assets. Now its volume is $2,7 billion, and the flow of money has a strange repetitive rhythm.

Каждый день 200 миллионов долларов вливаются в один биржевой фонд

During 13 of 18 trading days, approximately at 16:00 across New York, someone invested in this exchange-traded fund about $200 million. Among industry professionals, who follow the money on Wall Street, this raises questions about, who is behind this investment.

Most ETFs are either launched after the pre-seed stage — money, already "lined up", invested in the first day or two — either gaining assets organically in the following weeks.

NUGO does not fit any of these shapes., what says, that a large investor makes constant injections of funds, according to Bloomberg Intelligence. ETF is aimed at long-term capital increase of companies with a market value of more than $1 billion.

The inflow of funds at NUGO was large and unusually stable.

"Most likely, Nuveen lined up investors, who wanted to enter in parts, and not at a time ", — says Eric Balchunas, Senior ETF Analyst at BIoomberg. "Flow diagrams, which look unified in a similar way, usually refer to the same institution or internal assets. But it is extremely rare to see, so that they come in perfect portions for several days in a row ".

Although the amounts are modest in terms of the size of the US ETF market, $7,1 trillion, this is a lot of money for a young fund. NUGO was launched only at the end of September and has already tripled its assets, the only one in the category of active opaque funds.

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