In the 31 years since their U.S. debut, exchange-traded funds (ETFs) have grown to manage over $9 trillion across more than 3,300 funds. ETFs offer portfolio diversification like mutual funds but with added benefits such as low fees, tax efficiency, trading flexibility, and transparency. Their popularity has surged, with investors pouring $598 billion into U.S. ETFs in 2023 alone.
Over time, ETFs have evolved beyond passive investing to include thematic and actively managed options. Active ETFs have seen rapid growth, from $112 billion in 2019 to $663 billion by May 2024. With projections of global active ETF assets reaching $4 trillion by 2030, the debate continues: Are active ETFs a blessing or a curse? This video explores that question.
Intro music: https://www.epidemicsound.com/track/1Zx0EcEIfC/
https://www.epidemicsound.com/track/BB3T2KblZz/