More investors are embracing ETFs and the proof is in the pudding.
In its latest update on the ETF marketplace, Vanguard reported that ETFs are gaining widespread investor acceptance in the U.S. and in other markets around the world.
The company noted that cash flow into Vanguard’s lineup of 67 U.S.-based ETFs remains strong, with investors entrusting an ETF industry-leading $26 billion to the firm year-to-date through June 30, 2013.
Vanguard recently broadened its product line by introducing three bond ETFs: Vanguard Total International Bond ETF (BNDX), Vanguard Emerging Markets Government Bond ETF (VWOB), and Vanguard Short-Term Inflation-Protected Securities ETF (VTIP).
Vanguard also reported lower expense ratios on 56 ETFs over the past year, including reductions for some of its largest and most popular ETFs: the $55 billion Vanguard Emerging Markets ETF (from 0.20% to 0.18%) and the $31 billion Vanguard Total Stock Market ETF (0.06% to 0.05%).
The Valley Forge, Penn.-based investment firm is the third-largest worldwide provider of ETFs and has global ETF assets of $281 billion as of June 30, 2013. Vanguard has been expanding its suite of products in the United States, Australia, Canada, and Europe, and has introduced its first ETF in Hong Kong.