Active ETFs launches have surged this year, but are all these new debutants all dressed up with nowhere to go? Active ETFs inflows are on fire, with those of the first six months of this year nearly matching all of 2024, according to a Cerulli report issued last week. Still, 71% of ETF issuers told the research and consulting firm that it is difficult for their products to get shelf space at broker-dealers. In fact, no respondents disagreed about it being difficult, with the remaining 29% saying they were ...

Like any business, even low-cost ETFs need to generate revenue to cover their costs. Plenty of ETFs fail to garner the assets necessary to cover these costs and, consequently, ETF closures happen regularly. In fact, a significant percentage of ETFs are always at risk of closure. There’s no need to panic though: Broadly speaking, ETF investors don’t lose their investment when an ETF closes. A closure can, however, be inconvenient and costly. The good news is that for each high-closure-risk ETF out there, ...