Bullish Investors Plowed $16.8 Billion into S&P 500 ETFs in July

In another sign that June’s Brexit scare was just a temporary blip on investors’ radars, just-released data shows that a combination of three popular S&P 500 ETFs saw enormous inflows in July.

The data, compiled by ETF.com, indicates risk-hungry equities bulls poured $16.8 billion into the three biggest S&P 500 ETFs last month alone. These ETFs are the SPDR S&P 500 ETF Trust (NYSEARCA:SPY), iShares S&P 500 Index (NYSE:IVV), and Vanguard 500 Index Fund (NYSE:VOO).

Big July Inflows

Although these ETFs all track the same exact index, they offer differing levels of liquidity and expense ratios. Their performance tends to be pretty much the same, however:

Chart: Google Finance

There are actually three lines on the chart above, but the performance of these funds is so similar, they overlap completely over a long enough time frame. As you can see, all three have provided returns of 6.2% year-to-date.

As investors’ risk appetite continues to grow post-Brexit, these three ETFs are all attractive options if you’re looking to go long U.S. large and mid-cap equities. If you’re planning to buy and hold for a long period of time, however, IVV and VOO are better choices than SPY because they have lower expense ratios. SPY’s expense ratio is 0.9%, while IVV and VOO have expense ratios of 0.7% and 0.5%, respectively.

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