Assets invested in smart beta equity ETFs/ETPs have reached a new record high of $592 billion at the end of June 2017, according to ETF industry consultant ETFGI. Smart beta equity ETF/ETP assets have increased by nearly 15% from $515bn during the first half of 2017.

Smart Beta equity ETF/ETP assets have grown at an annual compound growth rate of 32% over the past five years.

According to ETFGI’s latest flows report, 89% of smart beta assets are invested in the 617 ETFs/ETPs that are domiciled and listed in the US while 76% of smart beta ETF/ETP assets are invested in funds that provide exposure to US equities.

In the first half of 2017, iShares was the provider that gathered the largest smart beta ETF/ETP net inflows with $13.2bn, followed by Vanguard with $7.8bn and Charles Schwab with $4.5bn.

S&P Dow Jones was the index provider that attracted the highest net inflows to products tracking its smart beta indices during this period, with $11.6bn in net new assets, followed by CRSP with $6.8bn and MSCI with $6.3bn.

At the end of June 2017, there were 1,255 smart beta equity ETFs/ETPs, with 2,150 listings from 153 providers on 39 exchanges in 32 countries.

Source: ETFGI