Research Reports»Clearstream Oct 2017

What’s next for funds: Exchange-traded funds and fragmentation

Flexible, transparent and with low fees, exchange-traded funds (ETFs) have a broad appeal.

Survey introduction

It is widely accepted that the first exchange-traded fund (ETF) was the State Street Global Advisors S&P 500 Depository Receipt, which began trading on January 1, 1993.

Easy access for many

One of the main selling points of ETFs is their accessibility. From a multi-billion-euro pension fund to a working mother with a small inheritance, anyone with the money can buy ETF units.

A need for harmonisation

One explanation for the strong growth of ETF assets in the US is that the American market is large and unified.

Looking ahead

We have established that ETFs are growing in favour. But how popular will they get? Could they, perhaps, take over from traditional mutual funds as the most popular investment product in Europe?

What the experts say

We consulted a panel of experts on the ETF industry to put the survey findings in context and add their opinions.