| BNY Mellon Insights-How Active ETFs Are Changing the European Market
May 8, 2024--Distribution, fees, transparency and market structure are key challenges in the rapidly growing active exchange-traded funds (ETF) market in Europe, according to a panel hosted by BNY. Experts from across the ETF spectrum-including representation from market makers, issuers and fund governance professionals- met in May to discuss the changing landscape of active investment choices. |
| While all agree the presence of active ETFs represents a clear opportunity in European markets, there are nuances that will require the industry to adjust. Growth trends Although the market share of active ETFs versus their established passive products is currently low-around 2%1- it is accelerating fast, according to the panel. Citing the visible trends from the United States, where active ETFs have jumped to more than 8% market share2 (1,200+ products), members of the panel pointed out that as of May 7, 2024, almost a third of all U.S. ETF flows went to active structures. That pattern has the potential to be repeated in Europe in the coming years. |
| ESAs warn of risks from economic and geopolitical events September 10, 2024--The three European Supervisory Authorities (EBA, EIOPA and ESMA-ESAs) today issued their Autumn 2024 Joint Committee Report on risks and vulnerabilities in the EU financial system. The Report underlines ongoing high economic and geopolitical uncertainties. |