Active ETFs see YTD flows spike 74% globally
Highlighting the growing demand for active ETFs, year-to-date inflows into the funds stand at US$267 billion globally as of the end of June.
According to research by ETF consultancy ETFGI, these funds saw net inflows of US$46.7 billion ($71.6 billion) in June, which brings total YTD flows to $US267 billion.
The YTD figure is substantially higher than the same period in 2024 when flows stood at US$153.4 billion, an increase of 74 per cent.
The bulk of flows went into equity active ETFs, which have gathered US$148.9 billion since the start of the year, followed by fixed income which gained US$102.6 billion. ETFGI noted fixed income has witnessed strong gains with flows in the first half of 2024 standing at US$54.4 billion, half of the 2025 figure.
Overall funds under management stand at US$1.48 trillion, up from $1.39 trillion at the end of May, across 3,805 funds globally.
Looking at all ETFs, assets invested totalled US$17 trillion and have grown by US$14.8 trillion during the six-month period. Some US$114.2 billion of these inflows came from investors in the Asia-Pacific ex Japan region, the consultancy said, but this was a decline from $142.1 billion in the first half of 2024.
Global asset manager BlackRock recently launched its first active ETF in Australia and said active ETFs make up more than a third of all ETF listings in Australia. The asset manager said much of the appeal of active ETFs is being fuelled by the inclusion of the products in advisers’ model portfolios.
“As investors navigate a new market regime of greater volatility and uncertainty in the post-COVID economic environment, we expect active ETFs to continue to grow in popularity as a complement to other fast-growing investment product categories like alternatives, direct indexing, and traditional managed funds. BlackRock projects active ETFs to reach US$4 trillion in assets under management globally by 2030,” it said.
“Managed accounts in Australia have grown from $10 billion to $200 billion in assets over the last decade, and active ETFs may soon be added to more Australian models as an affordable way to access active management.”
Recommended for you
ETF servicing provider Calastone has entered into an agreement to be acquired by SS&C Technologies in a $1.5 billion deal.
ASIC is conducting further surveillance on numerous private credit funds and their compliance measures as part of its broader review into the space.
With a distribution partnership agreed in May, Bennelong Funds Management has announced it will offer the Allspring Global Income Fund to Australian investors.
Global asset manager Robeco has expanded its Australian fund management team with an equity appointment.
