How does Larry Fink
view the money-making potential of active ETFs? The BlackRock
CEO aired his thoughts as part of BlackRock's earnings call last week.
"It is going to be very hard to make much money in active ETFs until you start seeing greater growth rates," according to Fink, whose comments were picked up
by ETF Trends' John Spence. "I do believe the predominance of ETFs will always be in the index space."
Fink noted that "despite all of the noise, despite all of the articles about active ETFs," the business accounts for a small slice of overall ETF industry's growth.
BlackRock's iShares [see profile]
is the industry's largest ETF player.
In his article, Spence reported that "although he said BlackRock will be building active ETFs, out of the $50 billion in net new business in ETFs as an industry, only $800 million was in active ETFs."
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