Future growth looks strong for exchange traded funds.
The global ETF industry is on pace to hit US $2 trillion in assets under management by 2012, according to a report from BlackRock’s Global ETF Research and Implementation Strategy Team. That’s up from $1.156 trillion AUM at the end of 2009 and $1.482 trillion at the end of 2010. “Demand for ETFs globally has surged,” says Deborah Fuhr, Global Head of ETF Research and Implementation Strategy at BlackRock.
The BlackRock report looks at factors driving the growth in ETFs; what capital flows tell us about investor sentiment; and how industry growth necessitates more investor education regarding ETF structures, as well as tax and regulatory issues.
For more information about the BlackRock report, visit here.
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