Managers plan to increase ETF exposure over three years

A majority of 81.3% of fund managers surveyed currently have less than 10% of their funds in these products, with only 6.3% of managers with 30% or more, according to research from ETF provider Lyxor. According to the 131 fund managers surveyed, the three most important factors when selecting an ETF are low tracking error, with 67.8% saying that was the most important criteria. This was followed by liquidity (65.3%), and having a counterparty risk of less than 10% (56.2%). Despite fears being raised about the ETF market, only 5.8% of fund managers are ‘very concerned' about the ris...