Quantcast
The MFWire
Manage Email Alerts | Sponsorships | About MFWire | Who We Are

Subscribe to MFWire.com's News Alerts [click]

Rating:Is This the End of the Beginning of the ETF Boom? Not Rated 0.0 Email Routing List Email & Route  Print Print
Tuesday, April 05, 2016

Is This the End of the Beginning of the ETF Boom?

News summary by MFWire's editors

We may be at an inflection point in the ETF industry ... and maybe it's just been a rough couple of quarters.

Dave Nadig
FactSet
Director of Exchange Traded Funds
The rate of new ETF launches plummeted last quarter, according to FactSet data reported on by the Wall Street Journal, to their lowest level in two years. And assets and flows (especially flows) remain highly concentrated among a few ETFs. Yet the total number of ETFs offered in the U.S. rose to 1,860 at the end of Q1 2016, up 10 percent year-over-year.

43 new ETFs launched in the U.S. in the first quarter of 2016, per FactSet. That's down 39 percent from Q4 2015 (70 launches), down 52 percent from Q3 2015 (90 launches, the peak quarter so far), and down 26 percent year-over-year (58 launches in Q1 2015).

Yet the current ETF launch pace still looks fast if you look back a little further; it's still more than double the launch rate from three years ago, when just 21 new ETFs debuted in the U.S. in Q1 2013. Though trending upward since Q1 2013 (the earliest FactSet data provided in the WSJ article), the pace of ETF launches has varied wildly from quarter to quarter.

"There's no question all the easy ideas are gone," Dave Nadig, head of ETFs at FactSet, tells the WSJ.

Here's how concentrated the ETF business is. Last month (that is, March 2016), ETFs in the U.S. brought in $36.8 billion in net inflows. That's the biggest monthly net inflow number in FactSet's data, which goes back to September 2010. And about three-quarters of that recordbreaking amount flowed into just 20 ETFs.

ETF assets are also concentrated, although much less so. Per Morningstar data cited by the WSJ, about three-quarters of ETF AUM is in the 100 biggest ETFs.

The article also features input from three ETF boutique bigwigs: Dan Ahrens, chief operating officer of AdvisorShares [profile]; Andrew Chanin, CEO of Pure Funds; and Darek Wojnar, managing director at Lattice Strategies

Edited by: Neil Anderson, Managing Editor


Stay ahead of the news ... Sign up for our email alerts now
CLICK HERE

0.0
 Do You Recommend This Story?



GO TO: MFWire
Return to Top
 News Archives
2022: Q2Q1
2021: Q4Q3Q2Q1
2020: Q4Q3Q2Q1
2019: Q4Q3Q2Q1
2018: Q4Q3Q2Q1
2017: Q4Q3Q2Q1
2016: Q4Q3Q2Q1
2015: Q4Q3Q2Q1
2014: Q4Q3Q2Q1
2013: Q4Q3Q2Q1
2012: Q4Q3Q2Q1
2011: Q4Q3Q2Q1
2010: Q4Q3Q2Q1
2009: Q4Q3Q2Q1
2008: Q4Q3Q2Q1
2007: Q4Q3Q2Q1
2006: Q4Q3Q2Q1
2005: Q4Q3Q2Q1
2004: Q4Q3Q2Q1
2003: Q4Q3Q2Q1
2002: Q4Q3Q2Q1
 Subscribe via RSS:
Raw XML
Add to My Yahoo!
follow us in feedly


  1. Nicsa webinar - Luxembourg: The FinTech Gateway to Europ, May 18
  2. MMI webinar - How Wealth Firms Can Attract and Retain the Modern Investor, May 18
  3. ICI webinar - New Research Shows "First-Mover" Is a Universal Investor Response — Not Unique to Open-End Mutual Funds, May 18
  4. MFDF webinar - Mutual Fund Director Compensation: The MPI Annual Survey (2022), May 19
  5. 2022 ICI Leadership Summit, May 25-26
  6. ALFI Roadshow to New York, May 25
  7. 2022 IDC Fund Directors Workshop, May 26
  8. Irish Funds Annual Global Funds Conference 2022, May 30-31
  9. WealthManagement Edge, May 31 - June 3
  10. MFDF 2022 Fund Governance and Regulatory Insights Conference, Jun 8-9
  11. 28th annual Expect Miracles East Coast Classic, June 9
  12. 2022 Sohn Investment Conference, June 9
  13. IDC webinar - Cybersecurity for Fund Boards: The Current Landscape, June 9
  14. MMI webinar - Driving Business Value with Artificial Intelligence & Data, June 15
  15. MFDF webinar - Key Takeaways From Morningstar's 2021 Annual Fund Fee Study, June 16
  16. MFDF Director Discussion Series - Open Forum (Chicago), June 21
  17. 2022 MMI Emerging Asset Managers Forum, June 23
  18. MFDF In Focus: Capitol Hill, A Conversation with Congressman Bryan Steil, June 28
  19. Financial Planning INVEST, Jun 28-29
  20. MFDF webinar - Differentiating Mutual-Fund-to-ETF Conversions, July 19
  21. MFDF Director Discussion Series - Open Forum (New York), July 20
  22. 2022 MMI Distribution Leadership Forum, Jul 20-21
  23. MFDF webinar - Fund Boards' Oversight of Investment Performance, July 28
  24. MFDF webinar - Performance, Perception and Manager Selection, September 14
  25. 2022 ICI Tax and Accounting Conference, Sep 18-21
  26. 5th annual Expect Miracles Atlantic Coast Classic, October 3




©All rights reserved to InvestmentWires, Inc. 1997-2022
14 Wall Street | 20th Floor | New York, NY 10005 | P: 212-331-8968 | F: 212-331-8998
Privacy Policy :: Terms of Use