Earlier this year, Morningstar also projected that the ETF managed portfolio space has between $40 and $100 billion in assets. iShares estimates that the sector could grow to $120 billion in ETF assets by 2015.
According to the iShares Connect Program, almost 80% of successful ETF Investment Strategies put client satisfaction first. Managers that used a greater allocation in ETF outsourced investment management were also more likely to exceed their business expectations. Additionally, successful EIS maintained a strong strategic direction.
“A consistent track record and fund performance are critical drivers of client satisfaction, but we also encourage managers to cultivate other important features for their business such as compelling product attributes, responsiveness among their wholesalers, and superior education and commentary,” Katharine Earhart, Head of iShares Connect Program at BlackRock. “Integrity in all aspects of the client relationship is, naturally, an indispensable quality as well.”
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Max Chen contributed to this article.