Rachel Aguirre, head of U.S. iShares Product at BlackRock, mentioned BIDD’s shareholder base and holdings aligned with the ETF wrapper, and that the agency has “seen a shift in investor preferences demonstrated by flows into energetic ETFs in comparison with energetic mutual funds.”
On Friday, annual web inflows into US ETFs crossed a brand new excessive, hitting $913 billion this 12 months, greater than 2021’s report $910 billion inflow, in accordance with Bloomberg Intelligence.
BlackRock — which has been the most important ETF issuer for greater than twenty years — has pulled over $223 billion into its U.S. ETFs this 12 months. It’s dwelling to roughly $3.15 trillion in US ETF belongings and about $350 million mutual fund belongings, in accordance with information compiled by Bloomberg.
In October, BlackRock filed with the SEC to create exchange-traded fund share courses of its mutual funds, a design that might port the tax benefits of the ETF wrapper onto its billions of present mutual fund belongings.
Aguirre mentioned BlackRock plans to do extra ETF conversions “when it is smart for the technique, the present shareholder base, and the place we see consumer demand.”
Nevertheless, she added, mutual funds “proceed to play a important function” for the asset supervisor, reminiscent of in “retirement channels resulting from consumer preferences.”
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