Investors in exchange-traded funds are trying to avoid risks and looking for safe investments, Bloomberg reports.

Situation has changed from April to May, when investors responded to the largest in two years correction of the market by increased investments into equities. However, now given rise in tariffs, threats to global growth and perspective for interest rates hike by US Fed, investors are more careful towards stocks.

Fixed income funds received $4,6 billion in July, which is almost two times higher than equity funds and more than any other assets classes. In June fixed income funds saw $7,5 billion of inflows, while equity funds lost $7,2 billion of investments.

Risk management plays a very important role in 2018 investing, experts note.

Investor continue taking out money from largest ETF in the world SPDR S&P 500 ETF Trust ($265 billion). Fund lost more that $5 billion on the week ending June 29. Last week loses deepened.

Meanwhile, bonds funds continue accepting investments inflows. Inflows into iShares U.S. Treasury Bond ETF ($6,6 billion) were $828 million from the middle of June. More riskier part of bond market also shows higher inflows.

Experts think that this tendency will develop further, as Trump's administration continues implementing its strategy of tariffs' increase.