Bright outlook seen for take-up of ETFs in Asia
Innovations such as smart beta funds are expected to drive growth.
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WEALTH managers in the Asia-Pacific are expected to drive flows into exchange-traded products and funds, particularly through fee-based advisory and discretionary portfolio services, said Robert Fairbairn, BlackRock global head of retail and iShares.
The rise of multi-asset funds which invest into ETFs is also set to drive demand. Multi-asset funds have grown in popularity thanks to Asia's appetite for income.
To date, allocation into ETFs and ETPs among Asian investors has lagged behind the US. BlackRock manages a total of about US$4.4 trillion in assets as at March 2016, of which roughly 66 per cent or US$2.9 trillion were in index assets and iShares.
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