The high profile exchange-traded fund (ETF) marketing campaign by Source paid off in March when the firm emerged as the second most successful ETF provider in Europe to raise assets.
Source raised $647 million (€567 million) in net new money, second to iShares and ahead of Amundi, according to ETFGI, a market data provider.
Last September Source launched a multi-million pound advertising campaign in the UK, involving branded taxis and billboard advertising.
At the time, Source said it had raised $3.4 billion of assets in the nine months to September 15 last year, when its campaign began.
The top three providers in March contrast with February’s winner. Though iShares came in the top three, it was second to ETF Securities, with Vanguard coming third.
Further figures from ETFGI show that ETF assets under management in Europe reached another record high of $522 billion at the end of Q1, with $5.11 billion of flows occurring in March.
Fixed income ETFs drove inflows against a backdrop of equity market volatility and gained the largest share of new money – just over $6 billion – followed by commodity ETFs.
“The European Central Bank cut rates and announced additional stimulus will begin in April, accelerating the rate of bond purchases from 60 to 80 billion euros per month," said Deborah Fuhr, managing partner at ETFGI. These bond purchases have been extended to corporate bonds, perhaps explaining the popularity of fixed income ETFs.
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