Morningstar’s Fund Family Digest has returned, with an in-depth analysis of the 100 largest fund families in Europe, revealing key industry trends. The digest has revealed that flows into passive funds have continued to be strong, benefitting giants like BlackRock (through its iShares suite of ETFs), DWS (Xtrackers), Amundi (Lyxor), Vanguard, and State Street.
It will likely take years before passive strategies in Europe achieve the same level of adoption as they have in the US, but their market share is growing steadily. For example, Invesco offers a mix of active and passive ETF strategies and has been keen to experiment with new structures and asset classes, including launching a spot bitcoin ETF. Passive strategies now account for 56% of the firm’s European AUM, up from 34% three years ago.
“While passive strategies are steadily gaining ground in Europe, their dominance is yet to match that in the US. Giants like BlackRock (iShares) and Vanguard continue to lead this movement but others are catching up. For example, Amundi now has over half of its assets in passive strategies, owing to the takeover of Lyxor in 2022. While passive ETFs are commonplace, active ETFs represent a small but growing portion of the European fund market.” said Thomas DeFauw, Manager Research Analyst at Morningstar
The full report can be viewed using use this link
