The global ETP industry gathered US$372 billion in net new assets in 2015. That represents a 10% increase over the prior record of US$338.3 billion gathered in 2014, according to preliminary data from ETFGI’s year-end 2015 report.
Further, the report says, December marked the 23rd consecutive month of positive net inflows and was the best month for asset-gathering in 2015, with US$55 billion in net new assets collected.
In Canada, net inflows were up 8% (at US$13.1 billion) at the end of 2015. Meanwhile, net inflows climbed 45% in Europe (to US$82.0 billion) and 142% in Japan (at US$39.5 billion).
The ETF market’s growth was boosted by market turbulence in 2015. Due mainly to concerns about China and commodities markets, emerging markets declined 14% and developed markets ended the year down 1%, says ETFGI.
The record level of ETP asset gathering in 2015 shows that more investors are using ETFs to insulate against market turmoil, says Deborah Fuhr, managing partner of ETFGI. Retail investors are using more ETFs through digital wealth managers, she adds, while institutions are using ETFs as alternatives to futures.
As of the end of 2015, the S&P Dow Jones had the largest amount of ETF and ETP assets tracking its benchmarks, with 27.8% market share. The MSCI came second at 14.9%, while the FTSE Russell came in third at 12.9% market share.