European savings plans key to ETF asset growth

This week ETF Express has brought you the findings of a fascinating study commissioned by BlackRock and conducted by European investor portal extraETF, that predicts ETF savings plans in Europe will rise to a total of 32 million by 2028. By the end of 2028, annual investments in ETF savings plans by private investors in Europe are expected to cross EUR64.3 billion.

ETF investors are getting younger too - Generation Z and Millennials are emerging as a driving force for growth in the European ETF market, whereas currently, ETFs are largely owned by the 35-54 age group. Investors aged 35+ represent 63 per cent of current ETF owners, according to YouGov.

It’s been a busy week at ETF Express as we also published our latest podcast, in partnership with TrussEdge, which found TrussEdge’s Dave Shastri and IMGlobal Partner’s Jeff Seeley discussing the business of ETFs. It’s timely as much of their advice was focused on distribution and the BlackRock/extraETF study must be music to the ears of all those contemplating launching an ETF business, or expanding their existing one. You can listen to the podcast here. 

We are in the process of finalising the ETF Express US ETF Awards for 2023 and I took the opportunity for a virtual chat with Douglas Yones of the NYSE. To watch the interview please click here.

Our interview this week was with Bradley Duke of the ETC Group, who sees something of a sea change happening in the reception of crypto assets among institutional investors, retail investors and even regulators in Europe.

ETC Group has ridden the asset flow volatility of the crypto space in Europe for some years, with one of its highs recognised in the ETF Express European Awards in 2021, with its BTCE ETP celebrating remarkable growth of 34,259 per cent from launch on 8th June 2020 to 1st June 2021.

Duke says: "There is a sense that the traditional finance incumbents have embraced cryptocurrencies in a meaningful way from major investment banks to Charles Schwab to BlackRock – across the full pantheon of financial services in the US and globally, a number mature and well-established entities have prepared or are preparing a crypto offering."

Beverly Chandler, Managing Editor

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