The solution as the wirehouses see it? Analysts suspect they’re looking into creating their own ETFs.
Clearly, the wirehouses know that ETFs are no passing fad at this point. The industry is here to stay. To sit on the sidelines is to lose out on commissions for sales of ETFs and assets that could come in to any proprietary ETFs. Although pricing competition is intense at this point, they’d rather earn a little money than none at all, according to one analyst.
For more stories about ETFs, visit our ETF 101 category.
Tisha Guerrero contributed to this article.