The number of Exchange Traded Funds (ETFs) available on the ASX has grown from just two in 2001 to over 220 in 2021.
In just two decades, we’ve seen remarkable growth of choice across almost every asset class, including the emergence of exciting new themes within the technology and climate change space, and the availability of different investing styles, from passive to factor-based, as well as active ETFs.
This means it is now possible for investors to construct and maintain a portfolio that is diversified across asset classes using ETFs.
Investors could also benefit from lower fees, and combining passive and active investing in their portfolios.
We currently estimate that the total ETF industry FuM at the end of 2021 will be in the range of $132-$138 billion.
Source: BetaShares, ASX.