Investors, market observers, and regulators always raise questions about the competitiveness of the European ETF industry since assets under management seem to be concentrated among a few ETF promoters. Generally speaking, I would agree with the statement that one needs to be concerned if a few players are dominating a market, but not when it comes to the European ETF industry. Graph 1 shows that the European ETF industry is highly concentrated at the promoter level since the 10-top promoters in Europe held between 93.52% (June 30, 2023) and 95.06% (December 31, 2024) of the overall assets under management in

February 2025 was another month with strong inflows for the global ETF industry. These inflows occurred in a volatile market environment in which investors around the globe acted nervous over any political and economic news. Investor sentiment was impacted by the discussions around tariffs imposed by the U.S. president and potential tit-for-tat reactions from the markets which are the targets of the new tariffs. That said, the tariffs are seen as a kind of trade war between the U.S. and the rest of the world by some market observers. When it comes to this, investors were concerned about a political

February 2025 was another month with strong inflows for the U.S. ETF industry. These inflows occurred in a volatile market environment in which investors around the globe acted nervous over any political and economic news. Investor sentiment was impacted by the discussions around tariffs by the U.S. president and potential tit-for-tat reactions from the markets which are the targets of the new tariffs. That said, the tariffs are seen as a kind of trade war between the U.S. and the rest of the world by some market observers. When it comes to this, investors were concerned about a political shift

The global ETF industry enjoyed general inflows over the course of January 2025. These inflows occurred in a mainly positive but volatile market environment. The markets were driven by the effects around the inauguration of Donald Trump as the next U.S. president. On one hand, investors appreciated the expected positive impacts on the U.S. economy from the new administration. Meanwhile, they feared the impacts from possible tariffs, which may cause a global trade war as an unwanted side-effect and higher government spending on inflation and, therefore, on the resulting policies of the U.S. Federal Reserve. That said, the high valuations

The global ETF industry enjoyed strong inflows over the course of 2024. These inflows occurred in a mainly positive market environment. While most equity markets were further on the rise over the course of the year despite the high valuations of the market leaders. Meanwhile, some bond segments faced the impacts from the beginning of the normalization of yield curves. This might also be the reason why investors are somewhat nervous and reacting quickly on any news that may impact the current market environment negatively. That said, the election of Donald Trump as the next U.S. president had a positive

Monday Morning Memo: Global ETF Industry Review, October 2024 The global ETF industry enjoyed general inflows over the course of October 2024. These inflows occurred in a mixed market environment. While most equity markets were either flat or haven’t risen further despite the high valuations of the market leaders over the course of the month, some bond segments faced the impacts from rising rates as yield curves have somewhat started to normalize. This might also be the reason why investors are somewhat nervous and reacting quite fast on any news that may impact the current market environment negatively. An example

The global ETF industry enjoyed general inflows over the course of September 2024. These inflows occurred in a positive market environment. Equity markets were rising further despite the high valuations of the market leaders. This might also be the reason why investors are somewhat nervous and reacting quite fast on any news that may impact the current market environment negatively. An example of this was the short-term market turmoil in August when investors had to unwind their yen-based carry trades after the yen increased sharply in value compared to the U.S. dollar. This is not only true for economic news,

The European fund industry enjoyed inflows over the course of September 2024. These inflows occurred in a positive market environment. Equity markets were rising further despite the high valuations of the market leaders. This might also be the reason why investors are somewhat nervous and reacting quite fast on any news that may impact the current market environment negatively. An example of this was the short-term market turmoil in August when investors had to unwind their yen-based carry trades after the yen increased sharply in value compared to the U.S. dollar. This is not only true for economic news, as

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

General Overview The global ETF industry enjoyed general inflows over the course of August 2024. These inflows occurred in a positive market environment. Nevertheless, equity markets looked somewhat vulnerable given the high valuations of the market leaders. With regard to this, it is not surprising that investors are nervous and reacting quite fast on any news that may impact the current market environment negatively. This is not only true for economic news, as the geopolitical tensions in the Middle East, especially the developments around the Red Sea, are seen as a risk for the general economic growth in Western countries

The European fund industry enjoyed inflows over the course of August 2024. These inflows occurred in a positive market environment. Nevertheless, equity markets looked somewhat vulnerable given the high valuations of the market leaders. With regard to this, it is not surprising that investors are nervous and reacting quite fast on any news that may impact the current market environment negatively. This is not only true for economic news, as the geopolitical tensions in the Middle East, especially the developments around the Red Sea, are seen as a risk for the general economic growth in Western countries since a number

General Overview The global ETF industry enjoyed general inflows over the course of July 2024. These inflows occurred in a positive market environment. Nevertheless, equity markets looked somewhat vulnerable given the high valuations of the market leaders. With regard to this, it is not surprising that investors are nervous and reacting quite fast on any news that may impact the current market environment negatively. This is not only true for economic news, as the geopolitical tensions in the Middle East, especially the developments around the Red Sea, are seen as a risk for the general economic growth in Western countries