Jan-Carl Plagge: Dispelling the ETF/bond market liquidity myth

Exchange-traded funds (ETFs) have undergone a rapid rise in popularity with European investors in recent years, driven in large part by a growing awareness of low-cost investing and an increasing use of passive funds by advisers. Within this expanding space, bond ETFs have also seen significant growth. While the assets under management in bond ETFs were only about 4% of those in bond mutual funds in 2008, the ratio had increased to around 16% by the end of 2018. Despite this growth, however, fixed income ETFs still make up a comparably small part of the global bond market, at around 2.4%...