The European ETF industry had a lot of net flows into innovative products and new market entrants over the course of September 2024 as American Century announced its market entry with two actively managed ETFs. This market entry means another U.S. asset manager made its way over the pond to offer its asset management expertise to European investors.
In addition, Fair Oaks Capital launched an ETF share class of its Fair Oaks AAA CLO fund, which is the first ETF specializing in collateralized loan obligations in Europe.
It also seems that the ETF market in Europe becomes increasingly attractive to European asset managers since Intesa Sanpaolo’s private banking arm Fideuram entered the European ETF industry with the launch of six ETFs on its new D-X ETF platform. This launch comes after Intessa Sanpaolo’s fund arm Eurizon SLJ Capital launched its first active ETF earlier this year. Interestingly, the D-X platform has chosen State Street Global Advisors (SSGA) as manager and State Street Investment Services for the administrative services, while Eurizon uses Connect ETFs (Carne Global Fund Managers and Citi).
Earlier in September, Dutch asset manager Robeco announced the launch of six active ETFs as a first step to leverage its existing asset management capabilities and expertise. While Robeco is now ready to go, U.K. asset manager Jupiter AM is still waiting for regulatory approval for its first ETF launch in cooperation with the ETF white label platform HANetf.
All these new market entrants demonstrate that the European ETF industry is a fast-growing industry which will further increase its market share within the European asset management industry. From my point of view, the launch of actively managed ETFs from well-known asset managers will be one of the growth drivers. Additionally, product innovations such as the Fair Oaks AAA CLO UCITS ETF might also contribute to overall growth of the industry since this kind of specialized ETF helps investors implement their asset allocation views more precisely and offer opportunities in non-plain vanilla asset classes.
This article is for information purposes only and does not constitute any investment advice.
The views expressed are the views of the author, not necessarily those of LSEG Lipper or LSEG.
