ETF Assets May Grow By More than 20% in 2010
Tuesday, February 2nd, 2010
Carl T. Delfeld submits:
Exchange traded products could grow by more than a fifth this year, according to Deutsche Bank analysts. ETF assets passed the $1,000bn mark last month as investors allocated money away from active managers. “In the event the bullish equity markets continue in 2010, we expect total assets will comfortably reach the $1.3-1.4 trillion territory,” says Christos Costandinides, ETF strategist at Deutsche. In 2009, assets under management in ETFs grew by 43.8 percent, boosted by a greater than 20 percent rise in global equities. BlackRock’s exchange-traded fund business iShares, acquired with BGI, saw its assets under management increase $170.9bn during the year to $495.5bn.
On the U.S. front, the GDP grew at a surprising adjusted annual rate of 5.7 percent in the last quarter of 2009, a sharp acceleration from the 2.2 percent increase in the prior quarter.
