This additional choice will be directly competing with costlier alternatives, including the iShares Barclays 0-5 Year TIPS Bond Fund (NYSEArca: STIP) and the PIMCO 1-5 Year U.S. TIPS Index Fund (NYSEArca: STPZ), which both have a 0.20% expense ratio. [Will BlackRock Cut iShares ETF Fees?]

So far, the low-cost ETF options, such as those provided by Vanguard, are garnering greater market share. Vanguard ETFs have an average expense ratio of 0.17%, whereas the industry average is around 0.55%.

In the first six months, Vanguard has gathered $29.6 billion in assets, compared to $16.2 billion from BlackRock‘s iShares and $10.3 billion from State Street Global Advisors. BlackRock CEO Larry Fink has already acknowledged that Vanguard has “taken market share from BlackRock in the U.S. core type of equity products.” [BlackRock’s iShares ETFs ‘In the Middle of a Price War’]

For more information on the ETF industry, visit our current affairs category.

Max Chen contributed to this article.