Michael Cooke, the agency’s head of ETFs, mentioned that volatility can swing buyers in favour of the funds.
“Usually talking, intervals of financial uncertainty and volatility are inclined to result in elevated ETF adoption as buyers search the advantages that ETFs can present, akin to liquidity, transparency, ease of use and product alternative,” he mentioned.
Driving tendencies
The report seems to be on the tendencies, each lengthy and quick time period, which are set to impression the Canadian ETF market within the coming months and years.
Central to this can be a shift in sector selections with cryptocurrencies dropping out to these which were much less widespread lately akin to infrastructure. Low-cost, market-cap weighted fairness ETFs additionally gained curiosity with $7 billion in web flows.
The slowing economic system is prone to drive gross sales of fixed-income ETFs with rising bond yields making these merchandise extra enticing as entry factors for buyers. Fastened-income ETFs took $19 billion final yr.
