Lipper concludes that the ETF industry will likely continue to expand their product lines, regardless of popularity of fund products.
“AUM is no valid measure to evaluate the profitability of an ETF,” Glow said. “No trend to consolidation in the ETF industry foreseeable at the moment.”
U.S.-listed funds have their own list of troubled funds. According to Ron Rowland’s ETF Deathwatch list, there were 324 ETPs – 229 ETFs and 95 exchange traded notes – under duress out of 1,319 listed products available in May. The funds on the list have been trading for an average 25.4 months and hold an average $6.4 million in assets. [Why ‘Zombie’ ETFs are Still Kicking]
The U.S.-listed deathwatch is comprised of funds older than six months, and ETPs that have dollar volumes of below $100,000 for three consecutive month or under $5 million in assets under management over three consecutive months.
For more information on ETF asset flows, visit our ETF performance report category.
Max Chen contributed to this article.