ETF Industry KPI – 10/16/2023

Week of October 9, 2023 KPI Summary

Ryan Fitzgerald

  • This week, the industry experienced 4 ETF launches and 3 closures, shifting the 1-year Open-to-Close ratio to 2.14 and total US ETFs to 3,304.
  • Every week, we write this KPI piece to discuss weekly, monthly, quarterly, and yearly updates to our evolving ETF industry. To see where we are going, we need to take a bigger step back to appreciate the progress we have made in a relatively short amount of time and to judge its ultimate trajectory. Therefore, let’s compare our ETF KPIs to January 18, 2021: 1,000 days ago.
    • Total US ETF Assets have increased 28.9% ($1.61 Tn), from $5.58 Tn to $7.19 Tn.
    • Total US ETF count has increased 41.9% (+976), from 2,328 to 3,304.
    • Total Issuer count increased from 170 to 298 (+128), which is just under 1 new issuer per week.
    • The Average Weighted Expense ratio of all US ETFs dropped from 18 bps to 15.9 bps.
    • The predicted revenue from Active Management ETFs increased from 8.7% to 14.9%.
    • Both NYSE and Nasdaq conceded some market share in terms of listings to CBOE who increased from 17.9% to 19.5% of all ETF listings.
    • Lastly, the Open-to-Close ratio was 0.99 approximately 1,000 days ago compared to 2.14 today. In that time, there have been well over 1,000 ETF launches and the Open-to-Close ratio peaked in the mid-fives and has trickled back down to around 2.
  • As we focus on the day-to-day, it is vital to recognize the trends of the past 1,000 days to predict where we will be in the next 1,000 on Sunday, July 2026.
  • The tracked indexes experienced different performances in the last 1,000 days. The Toroso ETF Industry Index is up 6.3% while the S&P Financial Select Sector Index led at 13.4%.

    ETF Launches

    USCF Aluminum Strategy ETF (ticker: ALUM)
    REX FANG & Innovation Equity Premium Income ETF (ticker: FEPI)
    JPMorgan Active Bond ETF (ticker: JBND)
    YieldMax SQ Option Income Strategy ETF (ticker: SQY)

    ETF Closures

    Innovator Double Stacker 9 Buffer ETF – October (ticker: DBOC)
    Innovator Double Stacker ETF – October (ticker: DSOC)
    Innovator Triple Stacker ETF – October (ticker: TSOC)

    Fund/Ticker Changes

    First Trust US Equity Dividend Select ETF (ticker: RNDV)
    became First Trust S&P 500 Diversified Dividend Aristocrats ETF (ticker: KNGZ)

    The FundX Flexible Income Fund (ticker: INCMX)
    became FundX Flexible ETF (ticker: XFLX)

    FundX’s Conservative Upgrader Fund (ticker: RELAX)
    became FundX Conservative ETF (ticker: XRLX)


    TETF.Index Performance vs. S&P Financial Select Sector Index

    (as of October 13, 2023)

    TETF.Index Performance vs. Other Leading Financial Indices
    (March 31, 2017 through October 13, 2023)

    Source: Morningstar Direct


    Why Follow the ETF Industry KPIs

    The team at Toroso Investments began tracking the ETF Industry Key Performance Indicators (KPI’s) in the early 2000’s and have been consistently reporting on, and analyzing these metrics ever since. The table above was the impetus for the creation of the TETF.Index, the index that tracks the ETF industry. Each week, we will share the statistics we believe to be the most useful for identifying industry trends, in addition to the performance of the TEFT.Index. 


    DISCLAIMER

    Past performance is no guarantee of future returns. This article is for informational and educational purposes only; is not intended to constitute legal, tax, accounting or investment advice; and does not constitute an offer to sell or a solicitation of an offer to buy any security or service. Furthermore, the Indexes shown above are not investable. While Toroso has gathered the information presented from sources that it believes to be reliable, Toroso cannot guarantee the accuracy or completeness of the information presented and the information presented should not be relied upon as such. Any opinions expressed are Toroso’s opinions and do not reflect the opinions of any affiliates or related persons. All opinions are current only as of the date of initial publication and are subject to change without notice. All investment strategies and investments involve risk of loss, including the possible loss of all amounts invested.

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