Marie Coady, global ETF leader at PwC, said the number of US-listed ETFs still being sold in Europe is “quite incredible” as investors shun the highly fragmented European market.
Speaking to ETF Stream, Coady called on Europe to build momentum behind a consolidated tape in a bid to improve trading efficiency and blamed the disjointed European ETF market for falling behind its US counterpart.
Coady’s comments come following the publication of PwC’s latest global ETF survey, ETFs 2027: A world of new possibilities, which found retail investors will provide the biggest surge in ETF demand in Europe over the next three years.
“The fragmented European market infrastructure makes European-listed ETFs relative to US-listed ETFs. When I see the amount of US-listed ETFs still sold into Europe, it is quite incredible,” she said.
“The market infrastructure really does hold European-listed ETFs back despite the fact the UCITS umbrella is very appealing, very competitive and works for all investor types.”
In this interview, Coady also discusses:
How ETF issuers can capitalise on the retail boom
The growth of active ETFs in Europe
Barriers to ETF growth on the continent