ETPs could be on the up in Europe

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ETPs could be on the up in Europe

The European exchange-traded products market could have significant room for growth, according to one of the region’s largest providers of the products.

Peter Thompson, president of provider Source, said that research among 751 investors in 11 European countries showed an expected 32 per cent net increase in the use of tracker ETPs over the next year, compared to 6 per cent for actively managed ETPs.

Mr Thompson said: “The findings suggest that the European market for ETPs still has significant room for growth and that they remain popular investment vehicles.”

The research found 68 per cent of respondents were currently using ETPs in the porfolios they manage.

Analyst view

Ursula Marchioni, head of ETP research for BlackRock, said: “Europe is the ETP industry’s bright spot right now.

“The growth in assets we have seen this year has tipped European-based ETFs over the $500bn (£322.4bn) mark for the first time.”