08/07/25 15:00:57

ETFs: “Tech is back”

People continue to buy diligently. And across all stock markets. The technology sector is once again particularly popular in the sector ETF segment.


08 July 2025. The new record highs on the US stock markets are boosting trading in exchange-traded funds (ETFs) on the Frankfurt Stock Exchange. “There is a lot going on, more than in previous weeks,” says Frank Mohr from Société Générale. The ETF trader reports “large volumes” and a significant buying overhang (almost two thirds). As is so often the case, the focus at the beginning of the month was on global indices such as the iShares Core MSCI World (IE00B4L5Y983). The global index funds are very popular with private investors and are increasingly traded via savings plans at the turn of the month.

USA, Europe and the emerging markets: demand is high everywhere

American equity ETFs such as the BNP Paribas Easy S&P 500 (FR0011550185) are also in high demand. According to Mohr, the percentage of total turnover accounted for by European index funds is even “extraordinarily high”. The iShares Core MSCI Europe (IE00B4K48X80) and various versions of the STOXX Europe 600 (LU0908500753; DE0002635307) are favorites. Moritz Kretschmann from Lang & Schwarz reports brisk purchases of the Deka MSCI Europe (DE000ETFL284). By contrast, the recent strong demand for ETFs on the DAX family has weakened somewhat. The emerging markets continue to be popular. Mohr sees a significant increase in interest and cites the iShares MSCI Emerging Markets (IE00B0M63177) as an example.

Technology ETFs dominate

The new record highs of the Nasdaq 100 are reflected in the turnover of sector ETFs. “Tech is back” is how Mohr describes the current situation. With a 45% share of turnover, technology is clearly the dominant segment. Particularly popular: the Xtrackers Artificial Intelligence & Big Data UCITS ETF 1C (IE00BGV5VN51), the Amundi MSCI World Information Technology (LU0533033667) and the iShares Digital Security (IE00BG0J4C88). All three products have recovered significantly since the April low, but have not yet reached their old highs again. One reason for this is the significant rise in the EUR/USD exchange rate, which has had a negative impact on securities traded in euros.

Mohr

Frank Mohr

Armaments are bought, energy is given

Investors continue to focus on the armaments and defense sector. Kretschmann reports high interest in the WisdomTree Europe Defense (IE0002Y8CX98). Mohr reports a slight selling surplus in the energy sector. For example, the Invesco Morningstar US Energy Infrastructure (IE00B8CJW150) is being sold. There is also profit-taking in iShares Gold Producers (IE00B6R52036), which was recently bought heavily.

Long in gold and short in gas

However, Kretschmann reports purchases for the iShares Physical Gold (IE00B4ND3602). In the commodities sector, the price of gas is also being closely monitored. Lang & Schwarz clients are currently betting on falling prices with the WisdomTree Natural Gas 3x Daily Short (XS2819843223).

Corporate bonds displace money market funds

In bond ETF trading, corporate bonds are currently in particular demand. The Xtrackers II ESG Eurozone Government Bond (LU2468423459) is being bought, while the iShares Core EUR Corp Bond (IE00B3F81R35) is being traded on both sides.

By Thomas Koch, 8 July 2025, © Deutsche Börse AG

Thomas Koch is a CEFA investment analyst, investment specialist for structured products and a certified certificate consultant. He has been a freelance journalist covering events on the capital markets since the beginning of 2006.

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