Research in Finance

Important - Research in Finance is an award-winning market research, consultancy, publisher and data provider. Research in Finance does not offer personal financial advice, investment advice or trading advice. Note: We have been made aware of a company claiming to be Research in Finance and offering investment tips - if you have been approached please contact us or report to Action Fraud. "Sophia Rodriguez" is not connected with Research in Finance.

Are Active ETFs the next big thing? If so, can you afford to not be as informed as possible? Find out more by getting in touch!

We are delighted to be taking part in the below J.P. Morgan Asset Management webinar. Rachel Powell, Research Manager, will be discussing the Research in Finance data that informs the discussion alongside other experts. Register below! #activeetfs #assetmanagement #europeanetfs #financialresearch

Results and themes from our new European ETF Study are featured in a recent Funds Europe article, "Europe embraces active ETFs". As Mark McFee says, "“Our latest research highlights that active ETFs have piqued the interest of many European intermediaries already using ETFs in general”. Read on to find out to what extent: #activeetfs #europeanetfs #assetmanagement #financialresearch #etfs https://lnkd.in/eP6y58JG

According to a recent Financial News article, Europe is on the verge of an active ETF "tsunami", with a deluge of European asset managers looking at rolling out active ETFs. At Research in Finance, we have our own European ETF Study, and have been talking about the advancement of active ETFs for some time now. Chris Chancellor is quoted within the article, explaining that our "research showed fund selectors in particular are showing increased interest in ETFs, with 42% saying they would opt for them over traditional mutual funds in the next five years". To find out more on how we can help you stay ahead of the curve, get in touch! #europeanetfs #activeetfs #assetmanagement #fundselectors https://lnkd.in/e4tr37Vx

Mark McFee, Editorial and Insights Director at Research in Finance has been quoted in a recent FONDS Professionell Multimedia GmbH article "Advisors open to cryptocurrency ETPs - but not to all", in which they discuss the results of some of our recent ETF research. Read on: #etfs #assetmanagement #cryptocurrency #bitcoin https://lnkd.in/eqHMufXY

Our very own Sam Chitty covered 'The Good, The Green and The Ugly' as he spoke at today's Investment Week Sustainable & Impact Briefing, touching on what's changed since SDR, what challenges are still faced across the sector as well as what good looks like. We also heard from Anna Väänänen from AXA Investment Managers and Jamie Melrose, CFA, CAIA from Guinness Global Investors, both presentations highlighting their current thoughts and investment strategies. Thanks again to the Investment Week team. As we all know if you weren't in the room you wont know what's being said. #marketresearch #sustainable #sdr

Interestingly, and in spite of lots of speculation at the moment surrounding the expected decrease in allocation to sustainable investments, a recent RiF sentiment study showed that in fact, there is still fairly substantial appetite, with 3/4 of those who completed the study planning to either increase or keep their ESG asset allocation the same.... #sustainableinvesting #esg #assetallocation #assetmanagement

It feels that active managers are focused on two paths ahead, one is active ETFs (which I posted on last week), the other is private markets. One conundrum here is if a traditional asset management brand can stretch into alternatives. The answer depends a bit on channel – investment advisers are happier working with a traditional asset manager providing alternatives whilst private bankers and pension consultants prefer a specialist alternative manager (based on our latest private markets study). It’s not quite that clear cut but that’s the general view. As we see traditional managers consider either buying alternatives groups or more of a joint venture tie up on specific products it may be that the right answer depends on the client being targeted. Whatever the target there will definitely be work to do on the brand to ensure it’s stretching effectively.

Active ETFs are hot right now. In the US they have grown from less than €200bn in 2020 to over a trillion dollars today. European asset management has been slower to shift as the inherent tax benefits in the US for the ETF structure were not present in Europe. But, they aren’t a complete unknown, active ETF assets stand at around €50bn in Europe, less than 3% of industry assets.  However, the times they are a changing. 2025 is set to become the year of active ETFs. Daily more groups are announcing plans to launch or investigate launching active ETFs and our research suggests they are right to consider this approach, 42% of fund selectors expect ETFs to be preferred to mutual funds in 5 years, with a further 42% expecting complementary roles. 7% expect ETFs to completely replace mutual funds – much higher in some countries. That’s almost 1 in 10 investors across Europe seeing no future for mutual funds. There’s a big variety in how they are defined by investors, who wants them, what they want, tracking error targets and where fund selectors are going to get ETF information. Let me know if you want to catch up on the topic, it seems to come up in every meeting in the past month. I’ll leave the last word to this private banker in our latest study who sees an opportunity but also defines active ETFs in what may be a challenging way for many managers launching today – there’s a big job to do in defining active ETFs: “An interesting development that we see is the trend in active ETFs. And what I mean by that is that these products, these active ETFs are very, very similar to the additional passive ETFs, but generally have some diversification related to the benchmarking, that they overweight or underweight certain sectors or securities, but with a very limited tracking error.”