THE BLACKROCK ETF PULSE SURVEY

Who’s behind the growth of ETFs?

BlackRock ETF Pulse shows that 1 in 3 Canadian investors are embracing the versatility and convenience of exchange traded funds (ETFs). They are using ETFs to build portfolios that help them meet a variety of financial goals - but there’s still a lot to learn.

Who uses ETFs?

ETFs are playing an increasingly important role in investors’ portfolios. They are no longer niche investments: current owners are going to use more of them, while those who haven’t used them yet are likely to start soon.

Millenials Stat
Millenials
GenX Stat
GenX
Boomers
Boomers Stat
Silvers
Silvers Stat

Attitudes and investing habits

ETF owners tend to be younger, more engaged, positive and long-term focused than non-ETF owners.

46% of ETF owners spend more than 5 hours per quarter

Spend more than 5 hours per quarter reviewing, researching or making changes to their investments.

71% of investors view ETFs

View ETFs as both long- and short-term holdings. The typical holding period for ETFs is over 5 years.

19% of ETF owners tend to have smaller cash holdings

Tend to have smaller cash holdings in their portfolios.

Why are they investing?

Investors look to ETFs for a variety of benefits and uses. Diversification and low cost are among the top attractions.

Low trading costs

Low trading costs

Low management fees

Low management fees

Diversification

Diversification

Potential risk reduction

Potential risk reduction

Lots of choices

Lots of choices

New ways to seek income

New ways to seek income

What holds people back?


A lack of information is the main reason more investors don’t use ETFs.

38%

say they are unfamiliar with ETFs

36%

believe their portfolio is diversified enough

28%

are unclear of how ETFs work

26%

are unsure of how to choose the best ETF

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What will drive future growth?

Search for purchases to increase

93% of current users intend to buy more in the next 12 months

of current users intend to buy more in the next 12 months

40% non-ETF owners intend to buy their first ETF in the next 12 months

non-ETF owners intend to buy their first ETF in the next 12 months

Younger people are more likely to allocate new investment to ETFs in the next year

Millenials Stat
Millenials
GenX Stat
GenX
Boomers
Boomers Stat
Silvers
Silvers Stat

How will they pay for it?

Cash

Cash

A majority (48%) of investors will use cash savings

Stocks

Stocks

21% will sell individual stocks

Ongoing Investments

Ongoing Investments

23% will invest income on an ongoing basis

Buying ETFs >

Where do they go for information?

Investors are looking to professionals and online to find out more. Boomers (56%) and Silvers (60%) ask their financial professionals about ETFs, Millennials (38%) and Gen Xers (41%) are more likely to turn to digital media like financial websites, blogs and podcasts.

Where are the knowledge gaps?


Investors are curious about ETFs, but many are missing information about key benefits and breadth of choices.

42%

are aware of the diversification benefits that ETFs can provide

34%

have knowledge of lower fees

21%

know about bond or international ETFs

7%

have knowledge of smart beta

Learn More >