ETF Securities this year has seen assets under management (AUM) grow to their highest level in the company’s history.
AUM swelled by $7.9 billion (£4.9 billion) as interest in exchange traded funds (ETFs) increased on both sides of the Atlantic. The rise brings the total assets managed by ETF Securities to $15 billion.
The growth of exchange traded commodities (ETCs) funds has been a key factor behind this expansion. In particular, physically-backed gold products have proven a major draw for investors with gold holding up 39% since the start of the year.
As Fund Strategy has discussed, news of continued strength in the passive investment market may pile further pressure on active managers to look at current fee structures in order to remain competitive.