How Big Is The ETF World?

Written by John Osbon on January 22, 2014

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


  • This communication may include forward-looking statements. All statements other than statements of historical fact are forward-looking statements (including words such as “believe,” “estimate,” “anticipate,” “may,” “will,” “should,” and “expect”). Although we believe that the expectations reflected in such forward-looking statements are reasonable, we can give no assurance that such expectations will prove to be correct. Various factors could cause actual results or performance to differ materially from those discussed in such forward-looking statements.”
  • “Historical performance is not indicative of future results. The investment return will fluctuate with market conditions.
  • Past performance is not indicative of any specific investment or future results. Views regarding the economy, securities markets or other specialized areas, like all predictors of future events, cannot be guaranteed to be accurate and may result in economic loss to the investor.
  • Investment strategies, philosophies, allocations and holdings are subject to change without prior notice.
  • This communication is intended to provide general information only and should not be construed as an offer of specifically tailored individualized advice.
  • While the Adviser believes the outside data sources cited to be credible, it has not independently verified the correctness of any of their inputs or calculations and, therefore, does not warranty the accuracy of any third-party sources or information.
  • Adviser does not endorse the statements, services or performance of any third-party vendor.
  • Unless stated otherwise, any mention of specific securities or investments is for hypothetical and illustrative purposes only. Adviser’s clients may or may not hold the securities discussed in their portfolios. Adviser makes no representations that any of the securities discussed have been or will be profitable.