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

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

Rating:Merrill Exec Sees $200B U.S. ETF Growth in 12 Months  Not Rated 0.0 Email Routing List Email & Route  Print Print
Thursday, April 18, 2013

Merrill Exec Sees $200B U.S. ETF Growth in 12 Months

Reported by Tommy Fernandez

The U.S. ETF market will grow $20 billion over the next 12 months and will likely hit$2.5 trillion in five years, according to Jon Maeir, senior investment strategist for ETF Portfolio Solutions at Merrill Lynch Wealth Management.

Maeir makes these forecasts in his recent white paper, ETFs: Beyond the Basics. Other insights from the paper include:

  • Since the first ETF listing in the U.S. almost two decades ago, ETFs have grown into a $2.0 trillion global industry  with most of the growth coming in the past five years. Over 70% of the global industry is concentrated in the U.S.
    Merrill Lynch team expects that U.S. ETF market assets will grow by roughly $200 billion over the next 12 months, with assets likely to reach roughly $2.5 trillion within the next five years from a combination of organic growth and existing assets appreciating in value.
  • The correlation between market volatility and index product and ETF use has been high recently. However, the risk in indexation is also partly due to a sweeping set of changes in the asset management industry that emphasizes asset allocation over stock-picking, and have tended to benefit low-cost, broad market exposure vehicles.
  • Exposure to previously inaccessible or cost-prohibitive markets and expansion of products in non-U.S. markets, especially in Europe.
  • Strong demand for index products in what have been volatile markets in the years following the 2008 financial crisis, during which active managers have largely underperformed their benchmarks.
       

    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
    2025: Q1
    2024: Q4Q3Q2Q1
    2023: Q4Q3Q2Q1
    2022: Q4Q3Q2Q1
    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. MMI webinar - Enhancing the Advisor Experience, January 16
    2. MFDF webinar - AI and Fund Compliance, January 21
    3. MFDF In Focus - In Focus: Small Boards' Use of Skills Matrices, January 22
    4. IDC webinar - SEC Enforcement Trends: What Fund Directors Should Know, January 23
    5. ICI webinar - Legal and Compliance Career Opportunities in the Asset Management Industry, January 24
    6. FSI OneVoice 2025, Jan 27-29
    7. MFDF 2025 Directors' Institute, Jan 27-29
    8. Nicsa webinar - An Intro to Irish and Luxembourg Investment Platforms for US Asset Managers, January 29
    9. WE South - Dallas | Texas Stock Exchange, Politics, & Product Development, January 30
    10. 2025 ICI Innovate, Feb 3-5
    11. Nicsa webinar - AI In Operations: Boosting Productivity for Wealth & Asset Management Firms, February 5
    12. MFDF In Focus: Understanding Distribution - What the Data Can Tell You, February 6
    13. MFDF Director Discussion Series - Open Forum, February 10
    14. MFDF Director Discussion Series - Open Forum, February 11
    15. MMI Darden-in-Residence II, Feb 24-6
    16. 2025 MMI RIA Forum, February 27
    17. IDC Core Responsibilities of Fund Directors, February 27
    18. Citywire Scottsdale CIO Summit 2025, Feb 27-28
    19. Expect Miracles In Manhattan 2025, February 27
    20. T3 Technology Conference 2025, Mar 3-6
    21. IMEA Distribution Intelligence Summit, Mar 4-5
    22. Nicsa 2025 Strategic Leadership Forum, Mar 5-7
    23. Citywire Pro Buyer New York Due Diligence Retreat 2025, Mar 6-7
    24. MFDF 2025 Fund Governance & Regulatory Insights Conference, Mar 6-7
    25. MFDF 15(c) White Paper Webinar Series: Part 3 - Gartenberg Factors Analysis and Challenges, March 12
    26. ICI Investment Management Conference, Mar 16-19




    ©All rights reserved to InvestmentWires, Inc. 1997-2025
    14 Wall Street | 20th Floor | New York, NY 10005 | P: 212-331-8968 | F: 212-331-8998
    Privacy Policy :: Terms of Use