How Big Is The ETF World?

January 22, 2014 (2 mins to read)

More than $2.3 trillion is invested in index exchange traded funds. Where is it? How is it allocated worldwide? Our own local State Street Global Advisors publishes a fascinating monthly report that tells all.

 Global ETF Allocation:

AllocationBy Asset Class:

Asset Class1Largest Providers: The Big Three

Providers

It’s early days

Yes, $2.3 trillion is a lot of money. But it’s only a tiny slice, scarcely more than one percent, of the $177T asset world per Windham Capital. But stay tuned.  The growth of inflows into ETFs each year are far outpacing other investment categories. And competition is keen – when we launched Osbon Capital in 2005, there were a few hundred ETFs (and few investors knew what the acronym stood for). Today, we have more than 2000 ETFs to choose from.world-cup-ETF-1

Ahead of the crowd

We’ve always seen ETFs as ideal vehicles to own thousands of securities with a single trade, access different asset classes, keep costs low and manage tax exposure. Looks like the secret is out now; ETFs are common ingredients in individual and institutional accounts around the world and we expect to see ETF World continue to grow for many years to come. Just imagine when there are $10 trillion of index ETFs! Still only 5% of the world. You can see why I believe Osbon Capital has the wind at its back…

Give us a call at 617-217-2772 – we’d love to hear what’s on your mind

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