ETFGI reports ETFs industry in Canada gathered US$47.87 billion in net inflows in the first 10 months of 2024 surpassing the full year record of US$46.55 billion in 2021 from

ETFGI Reports Record-Breaking Net Inflows for Canadian ETF Industry

Canadian ETF Industry Surpasses 2021 Record with US$47.87 Billion in Net Inflows

ETF Industry Continues to See Strong Growth in Canada

The ETF industry in Canada continues to experience strong growth, with net inflows surpassing the full-year record set in 2021. According to a report by ETFGI, the Canadian ETF industry gathered US$47.87 billion in net inflows in the first 10 months of 2024. This surpasses the previous full-year record of US$46.55 billion set in 2021. The strong inflows into Canadian ETFs reflect the growing popularity of these investment vehicles among Canadian investors. ETFs offer a number of advantages over traditional mutual funds, including lower costs, greater transparency, and more flexibility. The growth of the Canadian ETF industry is being driven by a number of factors, including: * **Increased awareness of ETFs:** ETFs have become increasingly popular in recent years, and Canadian investors are becoming more aware of the benefits they offer. * **Strong performance:** ETFs have generally performed well in recent years, which has attracted investors to these products. * **Low interest rates:** Low interest rates have made fixed-income investments less attractive, which has led some investors to allocate more of their portfolios to ETFs. * **Tax efficiency:** ETFs can be tax-efficient investments, which makes them attractive to investors who are looking to minimize their tax liability. The growth of the Canadian ETF industry is expected to continue in the coming years. As more investors become aware of the benefits of ETFs, and as the performance of these products continues to be strong, net inflows into Canadian ETFs are likely to remain high.

ETFGI Report Highlights Key Trends in Canadian ETF Industry

The ETFGI report on the Canadian ETF industry highlights a number of key trends: * **Fixed income ETFs continue to dominate:** Fixed income ETFs accounted for the majority of net inflows into Canadian ETFs in the first 10 months of 2024. This reflects the continued demand for fixed income investments among Canadian investors. * **Equity ETFs see strong growth:** Equity ETFs also saw strong growth in the first 10 months of 2024. This reflects the strong performance of equity markets in recent years. * **Commodities ETFs gain popularity:** Commodities ETFs have become increasingly popular among Canadian investors in recent months. This reflects the rising prices of commodities, such as oil and gold. * **Alternative ETFs see modest growth:** Alternative ETFs, such as those that invest in private equity or real estate, saw modest growth in the first 10 months of 2024. This reflects the fact that these ETFs are still a relatively new asset class in Canada. The ETFGI report also highlights the growing popularity of ESG ETFs in Canada. ESG ETFs are ETFs that invest in companies that meet certain environmental, social, and governance (ESG) criteria. These ETFs have become increasingly popular among Canadian investors who are looking to align their investments with their values.

Outlook for the Canadian ETF Industry

The outlook for the Canadian ETF industry is positive. The industry is expected to continue to grow in the coming years, as more investors become aware of the benefits of ETFs. The growth of the industry is also being supported by the strong performance of ETF products and the continued low interest rate environment. ETF issuers are expected to continue to launch new products in the coming years, which will give investors more choice and flexibility. The growth of the ETF industry is also expected to be supported by the development of new technologies, such as blockchain. Overall, the Canadian ETF industry is well-positioned for continued growth in the coming years. As more investors become aware of the benefits of ETFs and as the performance of these products continues to be strong, net inflows into Canadian ETFs are likely to remain high.