Industry Trends: Rising Popularity of Index Investing

Some of the Outflows from Domestic Equity Mutual Funds Have Gone to ETFs 

Note:  Mutual fund data include net new cash flow and reinvested dividends; ETF data for net share issuance include reinvested dividends
Sources:  Investment Company Institute. 2021. 2021 Investment Company Fact Book:  A Review of Trends and Activities in the Investment Company Industry

Passive Investing: 21% CAGR Globally 

ETF & ETN Growth Across Regions

AUM by Listing Region (dollars in billions)

1,500 3,000 4,500 $6,000 2020 EMEA APAC Americas +21% +24% +29% 2016 $2,644 $5,714 $513 $1,211 $302 $848

Equity Flows Exceeded Prior year Levels

Equity ETP Flows

Global Cumulative Flows (dollars in billions)


Record Inflows Continued into Fixed-Income Funds

Fixed Income ETP Flows

Global Cumulative Flows (dollars in billions)


The Strategic Beta ETP Market Is Maturing

Strategic Beta Equity ETP Flows

Global Cumulative Flows (dollars in billions)


New ESG Assets Tripled 2019 Flows


Global Cumulative Flows (dollars in billions) 


Indices can be used as the basis for liquid, investable products and as benchmarks for actively managed fund performance  


Sources: Morningstar and S&P Dow Jones Indices

Note:  The ETP (or exchange-traded product) category encompasses any portfolio exposure security that trades intra-day on an exchange