iShares U.S. Equity Factor ETF Price & Performance (LRGF)

Recent market indicators show heightened caution among investors. The Fear & Greed Index is at its lowest in a year, while the VIX surged 20% in February, reflecting growing concerns over geopolitical tensions and new tariffs. Defensive ETFs are gaining traction as investors seek to mitigate potential losses.1

Investors are shifting from equities to fixed-income and international ETFs, with inflows of $2.28 billion and $1.48 billion, respectively. Meanwhile, tech-heavy ETFs like QQQ saw outflows of $1.8 billion. This trend highlights growing concerns over inflation and tariff impacts on equity markets.2

European investors pulled $510 million from U.S. equity ETFs in February, contrasting sharply with $48.1 billion in domestic inflows. This divergence is linked to geopolitical developments in Europe and inflationary pressures in the U.S., signaling a shift in cross-continental investment strategies.3