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Market Impact: 0.55

ETF Prime: Defense ETFs Draw Billions Amid Global Tensions

Infrastructure & DefenseGeopolitics & WarMarket Technicals & FlowsInvestor Sentiment & PositioningProduct Launches

Defense ETFs now hold $42.0B in assets with $9.0B of inflows year-to-date, signalling notable investor allocation into the sector amid rising geopolitical tensions. Eight of nine new defense ETF launches since 2025 have been global/international, underscoring product expansion and international exposure trends that could support defense-equipment and aerospace names.

Analysis

Defense ETFs now hold $42.0B in assets with $9.0B of inflows year-to-date, signalling notable investor allocation into the sector amid rising geopolitical tensions. Eight of nine new defense ETF launches since 2025 have been global/international, underscoring product expansion and international exposure trends that could support defense-equipment and aerospace names.

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