Exchange-traded funds and other listed exchange-traded products in Europe gathered net inflows of US$10.16bn in July, says ETFGI, a London, England-based independent research and consultancy firm. Its specialism is trends in the global ETF/ETP ecosystem.
This marks the 33rd month of consecutive inflows, it says. Year to date, net inflows stand at a record $74.02bn. This is more than double the net inflows of $31.74bn at this point last year. It is also more than the record $55.69bn gathered in all of 2016, says ETFGI.
In the year to date to the end of July 2017, ETF/ETP assets have increased by 22.2% from $573bn to reach a new record $700bn.
Assets hit $700bn
At the end of July 2017, the European ETF/ETP industry had 2,292 ETFs/ETP, with 7,252 listings, assets of $700bn, from 60 providers listed on 27 exchanges in 21 countries. These figures follow on from a release of global ETF and ETP statistics at the start of this week.
As reported here previously, ETF entrepreneurs, Hector McNeil and Nik Bienkowksi are aiming to disrupt the European ETF market. They plan to launch Europe’s first so-called white label UCITS (undertakings for collective investment in transferable securities) ETF platform.
HANetf is designed to provide a one-stop-shop for asset managers who want to enter the European UCITS ETF market without having to establish a full services business. Europe is currently the second largest ETF market in the world, they note, behind the United States.
Powerful trend to ETF
McNeil said there is a powerful trend towards ETFs in Europe. Asset managers will need to be able to issue passive, smart beta and ultimately active investment strategies in a timely and efficient manner to take advantage of this demand, he added.
EFTGI also reported today that ETF and ETP listed in the United States gathered net inflows of S$27.99bn in July. This is the 17th consecutive month of positive net new asset flows in the US, it adds.
Year to date, net inflows stand at $275.38bn. This is more than double the net inflows of $112.16bn accumulated at this point last year and nearly the same as the $278.74bn gathered in all of 2016.