American ETF assets continue to rise

Wall streetAssets in exchange-traded funds (ETFs) in the United States rose nearly 5% in October, far outpacing growth in US mutual fund assets of 2% in the month.

Alongside market gains, growth in ETF assets was partly driven by a net inflow of nearly $25 billion (€18 billion) in the month, according to Cerulli Associates, which produced the research. In contrast, mutual funds attracted a net inflow of $18 billion, says the firm.

Referring to the mutual fund flows, Cerulli says, “international equity funds again topped the list with $12.2 billion in net flows”.

The data confirms that the US leads the world in terms of ETF adoption. ETF assets in the US hit $1.6 trillion at the end of October, according to Cerulli. In contrast, assets in European ETFs were €283 billion at the end of September, according to data from research firm Lipper.

“Looking at [recent ETF trends in Europe], I believe that assets under management in the European ETF sector will continue to grow in the months ahead, although the growth rate will be lower than in the past,” says Detlef Glow, head of EMEA research, Lipper.

@2013 funds europe