Assets under management in exchange-traded funds (ETFs) have surged in recent years. Research and consulting firm ETFGI, for instance, noted that ” into European exchange-traded funds and exchange-traded products.
Global ETF assets under management grew by 27% to reach $14.6trn by the end of 2024, says a by PWC issued on 5 March 2025, which polled 70 executives around the world. More than one out of four respondents (28%) expect to see global ETF assets under management more than double by 2029, reaching or exceeding $30trn.
“2024 saw record ETF net inflows in the United States ($1.1trn), Europe ($266bn), Canada ($58bn) and Asia-Pacific ($149bn),” noted the report. In Europe specifically, assets under management grew by 24% to reach $2.2trn.
Six out of 10 European survey respondents (61%) believe that the region’s ETF assets under management will reach at least $4trn by June 2029, while around one in five (22%) expect that ETF AUM will reach $4.5trn or more.
78% for Ireland, 16% for Luxembourg
Over three-quarters (78%) of assets in European exchange-traded funds are in Irish-domiciled ETFs, said the report. Luxembourg (16%), Germany (3%) and France (2%) make up most of the remaining market.
Luxembourg has roughly €358bn in ETF AUM, according to data from the European Fund and Asset Management Association.
“Europe’s ETF market still has a long way to go in realising its full growth potential,” said the report. “Of the segments earmarked for growth, the focus on individual/retail investors marks the most significant shift in a sector that’s still dominated by institutional investment. Nearly three-quarters of European respondents (74%) expect major growth in the retail segment over the next two to three years, on a par with financial advisors and intermediaries.”
“Catalysts for expansion include the growing popularity of digital distribution and ETF savings plans, especially in Germany, Europe’s largest ETF market. In addition, the EU’s Retail Investment Package aims to boost individual investment in the real economy by strengthening investor education and protection,” noted PWC.
The report also pointed out, “In a move that could be replicated elsewhere, the Luxembourg regulator is relaxing disclosure requirements for active ETFs by allowing managers to publish holdings with a one-month lag.” For the , “The new transparency regime represents a safe harbour for actively managed ETFs.”