More investors are also becoming less enamored with high-cost active funds that have exhibited extended periods of underperformace to their benchmarks, favoring cheap, cost efficient index-based funds like ETFs as an alternative.

As the ETF industry continues to grow, investors can also capitalize on the growth through a broad exposure to those fund sponsors and other companies that have benefited from the huge expansion in ETFs through the recently launched ETF Industry Exposure & Financial Services ETF (NYSEArca:TETF).

As Venuto explained, TETF’s underlying Toroso ETF Industry Index provides exposure to the entire ETF ecosystem, encompassing companies that derive revenue from the ETF industry. The ETF covers liquidity providers, market makers, fund sponsors, ETF asset managers, index/data providers, exchanges, ETF service providers, custodians, trading platforms and distributions.

Specifically, the underlying index follows a four tiered weighting methodology. It includes a 50% tilt toward those with a substantial participation or direct financial benefits such as BlackRock iShares, Charles Schwab or Invesco PowerShares. Around 25% cover those with substantial participation or indirect financial benefits like DST Systems, JPMorgan Chase and SEI Investments. About 15% include those with moderate participation or indirect financial benefit such as Ameriprise Financial, Northern Trust and Vertus Investment Partners. Lastly, around 10% are comprised of new or minor participants, including Citigroup, E*Trade Financial and Envestnet.

Financial advisors who are interested in learning more about the growing ETF industry can watch the webcast here on demand.