Assets invested in the U.S. ETF market have grown by about 7% year-to-date—a pace that reflects more than $200 billion in ETF creations in 2015, and muted market action, which has the S&P 500 practically flat on the year. But the growth among some ETF issuers is far bigger than that.
Total U.S.-listed ETF assets are now hovering at $2.150 trillion versus $2.006 trillion at the end of 2014.
Some of the biggest ETF issuers have only gotten bigger: BlackRock today manages more than $827 billion in ETF assets—8.7% more than it did last December. Vanguard, too, has seen its asset base grow more than 13% in the same period to $483 billion, taking State Street Global Advisor’s No. 2 spot. SSgA actually saw assets decline by 8.1% this year.
The three biggest firms still command more than 80% of the total ETF market even if newcomer issuers enter the market almost every month. But here are some standout asset gatherers in the ETF industry this year:
Deutsche Bank: Assets Under Management Up 425%
The firm has seen its ETF AUM grow by 425% year-to-date. Coming into 2015 with less than $4.5 billion in total assets, Deutsche today manages more than $21.7 billion.
That impressive jump rests largely on the success of one strategy: the Deutsche X-trackers MSCI EAFE Hedged Equity ETF (DBEF | B-72). DBEF was one of the two most popular ETFs this year, gathering nearly $13 billion in fresh net assets year-to-date. The fund’s asset base also benefited from positive performance, even with the late summer correction, as the chart below shows:
DBEF offers exposure to eurozone equities while peeling away the exposure to the currency crosses. That strategy is a popular play for investors looking to capture value in eurozone equities while mitigating the impact a strong dollar has on returns.
Deutsche brought some 12 new ETFs to market this year.