Distribution of Mutual Fund
and ETF Assets
Year-to-Date (YTD) 12/31/2016
Passive Dominates 2016 Net New Assets (NNA) in Third-Party Channels
NNA Growth of Passive Products Persists
in Retail & Institutional Channels
Retail Channels
Institutional Channels
For more information, visit our
Fund Distribution Interactive tool at
access-data.broadridge.com/market-insights. broadridge.com
The increase of passive products for third-
party channels is driven to a large degree
by advisor’s adoption of ETFs as a primary
investment vehicle for client portfolios, and
the use of ETFs for robo-advisors.
Increase YTD 12/31/2016
Passively managed products made up
the majority of net new assets in retail
and institutional channels.
Increase YTD 12/31/2016
Third-party distribution channel sales from broker-dealers,
registered investment advisors and banks drove increased usage
of passive products in 2016.
Source: Broadridge Financial Solutions, Inc. Data as of December 31, 2016.
The data referenced includes open end mutual funds and ETFs, and excludes
money market and closed-end funds. Broadridge and the Broadridge logo
are registered trademarks of Broadridge Financial Solutions, Inc.
Active NNA % Increase
Index Funds
Active NNA % Increase
Passive NNA % Increase
Active
Passive NNA % Increase
NNA $B Increase
ETFs
NNA $B Increase
22%
22%
1.8%
2.1%
1.3%
20.1%
24.3%
15.1%
Passive
Active
Passive
Active
Passive
Active
Passive Products in Third-Party Channels Outweigh Passive Products
Across All Funds
Third-party channels now have a higher percentage
of passive products than passive products across all
funds, with 36.3% of assets in passive products, up
from 32.6% just a year ago.
YTD 12/31/2016
30%
Passive
36.3%
Passive
ActiveActive
15% 26.3%
15%
10%
63.7%70%
Passive/Active Products
in All Fund Assets
Passive/Active Products
in Third-Party Channels
$610.7B
$402.6B
$208.1B
$113.2B
$88.9B
$24.3B
Increase over 2015
Increase over 2015
Passive/Active Products Distributed by Third-Party Channels
73.1%
71.2%
69.3%
67.4%
63.7%
26.9%
28.8%
30.7%
32.6%
36.3%
2012
2013
2014
2015
2016
Active Products
Passive Products
Steady Growth of Passively Managed Products in the Last 5 Years
The percentage of passively managed
products distributed by third-party
channels has continued to increase
from 2012 to 2016.