The size of the global exchange traded products (ETP) industry has surpassed $2 trillion, according to the ETP Research team at BlackRock, Inc.
The ETP market had a record-breaking year for flows in 2012, attracting $262.7 billion in assets globally and growing by 27% compared with the end of 2011. This momentum has carried into January and the industry reached $2 trillion in assets under management on January 18, 2013.
Increased investment in ETPs is being seen in all major regions, as a broad spectrum of institutional, professional and retail investors are using the products to access asset classes in a cost-efficient and effective way, whatever the market conditions.
At an asset class level, fixed income ETPs and emerging market equity ETPs set new records for their categories in 2012, recording net inflows of $70 billion and $54.8 billion respectively.
Also read:
Safety tips for synthetic ETF use
ETF market: challenges and opportunities