New York
02 November 2015
Reporter: Drew Nicol

Retail channels see ETF growth

There was a 7.4 percent growth in exchange-traded funds (ETFs) assets from January to 30 September, according to the Broadridge Financial Solutions Fund Distribution Intelligence.

ETF assets increased by $144 billion due to retail channels, according to Broadridge’s data.

Long-term mutual fund assets from third party distributors dropped by 2 percent ($156 billion), during the same period.

Retail channels now represent 63 percent of all ETF assets.

Registered investment advisors (RIAs) led all retail channels over the past year adding $46 billion in ETF assets, followed by wirehouses with $45 billion and independent broker dealers (IBDs) with $41 billion.

The only retail channel with increased assets for long-term mutual funds over this period was the RIA channel with an increase of $29 billion.

“ETF assets continued year-on-year growth through the third-quarter, despite the worst stock market drop since 2008, with advisors accounting for the lion’s share of investment,” said Frank Polefrone, senior vice president of Broadridge’s Access Data product suite.

“This trend demonstrates the increased use of passive products. Registered investment advisors, which hold a higher percentage of passively managed funds, were the only retail channel with an increase of long-term fund assets over the last year.”

The latest Broadridge data also highlighted that total long-term mutual fund and ETF assets across retail and institutional channels reached $7.2 trillion and $2.09 trillion, respectively.

On a year-to-date basis, total ETF assets increased by 0.2 percent ($5 billion), while long-term funds sold through distributors decreased by 3.3 percent ($243 billion).

While retail ETF channels were up 13 percent ($150 billion) over the past year, ETF assets from institutional channels decreased by 1 percent ($6 billion).

Long-term funds from retail channels were down by $199 billion over the past year, while assets from the institutional channels were up $43 billion.

More news
The latest news from Asset Servicing Times
Join Our Newsletter

Sign up today and never
miss the latest news or an issue again

Subscribe now
OFI AM and SETL become shareholders of IZNES
23 February 2018 | Paris | Reporter: Jenna Lomax
OFI AM and SETL have been joined as shareholders of IZNES by five asset management companies
Klesia Finances goes live with NeoXam’s Density solution
23 February 2018 | Paris | Reporter: Jenna Lomax
According to Klesia, Density will assist it in facing the current French and European regulatory landscape
EBA Clearing’s RT1 hits 500,000-transaction-mark
23 February 2018 | London | Reporter: Jenna Lomax
The RT1 system passed the transaction milestone on 19 February
Liz Daniels joins FCA
23 February 2018 | London | Reporter: Becky Butcher
The Financial Conduct Authority has appointed Liz Daniels as policy advisor
Gen II exceeds $175 billion in assets under administration
23 February 2018 | New York | Reporter: Becky Butcher
Gen II Fund Services has revealed that its assets under administration have exceeded $175 billion
SANNE hires Hannah Correll Jaeger
22 February 2018 | New York | Reporter: Becky Butcher
SANNE has appointed Hannah Correll Jaeger as head of client relationship management for the Americas to support the company’s growth
Benelux trio set to strengthen collaboration on blockchain
22 February 2018 | Brussels | Reporter: Becky Butcher
B-Hive, the Luxembourg House of Financial Technology and the Dutch Blockchain Coalition have signed a memorandum of understanding to strengthen further collaboration in blockchain within the Benelux region
More news