Bringing you live news and features since 2006 

ETFs growing faster than mutual funds


ETFs have been gaining popularity among investors as a result of the poor performance of actively managed funds, according to Five Star Equities. The low costs, transparency, liquidity, and better tax efficiency are some of the major reasons ETFs are being chosen over mutual funds.

"That’s what makes us the best game in town for investors and it is the reason why ETFs are growing faster than mutual funds," Jonathan Steinberg, founder & CEO of WisdomTree, said in a recent interview with Yahoo Finance.

There are approximately 1,500 different exchange traded products, with only 47 actively managed ETFs, the remaining 97 per cent fall into the passive, unmanaged or specialty grouping. Steinberg, whose firm runs 14 of the 47 actively managed ETFs, says Exchange Traded Funds are set for "literally trillions and trillions and trillions of future growth." He predicts that eventually active and passive ETF will make up 50 per cent of all long-term assets. The number currently stands at 10 per cent, which Steinberg says is attracting 50 per cent of all new investing money. "The ETF is to the mutual fund, what the internet is to the newspaper," he says.


Latest News

Figment Europe, a provider of institutional staking infrastructure, writes that it is solidifying its presence in the heart of Europe’s..
Saving and investing app, Moneybox, has doubled the number of ETFs available on the platform, in the light of ‘growing..
Global X ETFs has announced the appointment of Ryan O'Connor as its Chief Executive Officer effective as of April 8, 2024. ..
Value-driven structured credit investing firm, Angel Oak Capital Advisors, LLC, has announced the completed conversions of two of its mutual..

Related Articles

Jigna Gibb, Bloomberg
Bloomberg Indices has recently hired Jigna Gibb as Head of Commodities and Crypto Index Products, to lead its commodities and...
Robert Minter, director of ETF investment strategy at abrdn takes a look at passive investing in commodities and shares his...
Ryan McCormack, Invesco
This year sees the 25th anniversary of Invesco’s QQQ, the USD240 billion ETF – the fifth largest ETF in the...
The European ETF market achieved a record 28 per cent growth – reaching over USD1.8 trillion assets under management (AUM)...
Subscribe to the ETF Express newsletter

Subscribe for access to our weekly newsletter, newsletter archive, updates on the site and exclusive email content.

Marketing by