Fixed income ETF inflows have faltered over the last year, and new survey data could explain exactly why that has happened. According to the Global ETF Survey in 2022, nearly a third had absolutely no bond ETF exposure. Maybe you would expect investors to hold underlying bonds, but even still this is almost a 10% increase from the prior year's survey. Those surveyed cited a number of reasons as to why the demand has weakened considerably. Primarily it was the macro factors like inflation and rising interest rates which has made investing considerably more risky. However, well over a third of the investors polled said that it was the limited range of options that were available, and almost half said it was two difficult to discern strategy differences.

Finsum: Maybe fixed income needs to simplify the framework if they want to draw in more investors.