QQQM, SGOV and IBIT Lead Top ETF Launches of Last Decade
QQQM, SGOV and IBIT rank as the decade’s largest ETF debuts by assets, holding about $97 billion, $91 billion and $58 billion respectively.
A VettaFi ranking of exchange-traded fund debuts over the past decade places Invesco’s Invesco Nasdaq 100 ETF (QQQM), the iShares 0-3 Month Treasury Bond ETF (SGOV) and the iShares Bitcoin Trust (IBIT) as the top three by current assets. QQQM holds about $97 billion, SGOV about $91 billion and IBIT about $58 billion.
QQQM has attracted more than $97 billion since its launch. The Nasdaq 100 index has risen more than 160% over the period, outpacing the S&P 500 by roughly 25 to 30 percentage points. Cynthia Murphy, director of research at VettaFi, called QQQM “the ETF for the times we live in.”
SGOV crossed roughly $91 billion. VettaFi noted SGOV’s lower fee structure delivered about a 35% cost advantage compared with a long-standing one-to-three month Treasury bill ETF, a factor VettaFi described as the “cleanest explanation” for its rapid adoption.
IBIT topped $58 billion after its January 2024 debut. Placement on BlackRock’s Aladdin risk-management platform at launch supported distribution and visibility for the product.
State Street’s SPDR Gold MiniShares Trust (GLDM) appears in the top ten as an example of product segmentation. GLDM charges 10 basis points compared with 40 basis points for the flagship SPDR Gold Shares (GLD) and has posted positive net inflows each calendar year since its 2018 debut. Capital Group’s Dividend Value ETF (CGDV) debuted in 2022. Dimensional’s U.S. Core Equity 2 ETF (DFAC) ranked after converting from a mutual fund in 2021, which provided an early asset base.
Distribution and placement affected several entries on the list. The iShares U.S. Equity Factor Rotation Active ETF (DYNF) held little in assets until it was incorporated into model portfolios in January 2024; Murphy described model portfolios as the “expressway to the distribution muscle.” J.P. Morgan placed three funds among the top ten-JPMorgan Ultra-Short Income ETF (JPST), JPMorgan Nasdaq Equity Premium Income ETF (JEPQ) and JPMorgan Equity Premium Income ETF (JEPI)—and those funds are three of the four largest active ETFs by assets. VettaFi credited J.P. Morgan’s execution and distribution in the options-income category for those results, and the firm is now the sixth-largest ETF issuer.
Allyson Wallace, Morgan Stanley Investment Management’s global head of ETFs, highlighted the Eaton Vance Total Return Bond ETF (EVTR), which grew from about $350 million at conversion to $5.3 billion, and the Morgan Stanley Bitcoin ETF (MSBT), which launched in April, charges 14 basis points and held roughly $250 million in assets.
VettaFi identified several factors correlated with larger asset totals for ETF debuts: sustained market returns over the decade, fee competitiveness, distribution channels and placement on platforms and in model portfolios.
Articles by this author
