ETFs draw $1T in 2024: Top picks for 2025 growth
TMX VettaFi Head of Research Todd Rosenbluth joins Wealth to discuss the exchange-traded fund (ETF) market's outlook and trends. Rosenbluth reports that ETFs attracted approximately $1 trillion in inflows during 2024, with strong demand across actively managed, fixed-income, and bitcoin ETFs. He also notes the accelerating trend of mutual fund to ETF conversions. "This is where investors are focused. It's where the asset managers are focused too," he tells Yahoo Finance. Looking ahead to 2025, Rosenbluth observes growing optimism for equities. He points to significant inflows into ETFs like Vanguard 500 (025K.BE), IVV (IVV), and core S&P 500 (SPY, ^GSPC) products, adding, "it's a great time in the ETF marketplace." For investors seeking alternatives to the Magnificent Seven trade, Rosenbluth recommends small-cap ETFs, including VictoryShares Small Cap ETF (SFLO), T. Rowe Price Small-Mid ETF (TMSL), and Neuberger Berman ETF (NBSM) as potential entry points. To watch more expert insights and analysis on the latest market action, check out more Wealth here. This post was written by Angel Smith