Advisors are leading the charge in active ETF adoption
The investment industry is undergoing a structural transformation, and exchange traded funds (ETFs) have played a starring role. ETFs accounted for 35% of long-term fund assets under management (AUM) in May 2025, totaling nearly $11 trillion. Whereas ETF growth initially went hand-in-hand with greater adoption of passively managed funds, active ETFs are increasingly moving to center stage too.
While the first active ETF debuted in 2008, the past few years have seen a dramatic increase in adoption. According to ISS Market Intelligence, active ETF assets have grown tenfold since 2019, reaching over $1 trillion by May 2025. This surge is not just a headline; it’s a signal of deeper changes in advisor vehicle preferences and product strategy.
