Although exchange traded funds (ETFs) crossed the $1 trillion threshold in mid-December, that figure managed to hold through until the end of the month and make it officially official.
National Stock Exchange just released its expanded, year-end 2010 exchange traded fund (ETF) and exchange traded note (ETN) data, showing how massive the industry’s growth has been in the last several years:
- Since December 2005, assets in ETFs have grown 224%
- Since December 2005, the number of ETFs on the market has ballooned from 221 to 967 – a 338% growth rate
- In the last year alone, assets in ETFs grew 28%
Some of the biggest growth spots in 2010 have been long U.S. equities, which pulled in $37 billion in 2010; only global equities did better, grabbing $39 billion. Fixed-income was also hot, nabbing $26 billion. A late-year run also boosted commodities, which pulled in $11 billion for the year.
Currency ETFs took a hit, losing $2.6 billion for the year.
Total ETF/ETN share volume averaged 1.46 billion shares per day. ETF/ETN Notional Trading Volume totaled $18.2 trillion, representing 29% of all U.S. equity trading volume. [December ETF Performance Reports.]
Tisha Guerrero contributed to this article.
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