Investors Turn to ETFs in Volatile Post-Brexit Market

The video discusses market trends following the Brexit vote, highlighting a shift from European equities to US large cap and Japanese equities. It explores the demographics of ETF users, noting significant usage by both retail and institutional investors. The video also examines the rise of fixed income ETFs, emphasizing their transparency and liquidity benefits. It addresses ETF adoption in various risk scenarios and concludes with an overview of regulatory changes impacting the ETF market, particularly in Canada and the United States.

What investment trend has been observed since the Brexit vote?

• Increased investment in emerging markets

• A focus on real estate investments

• A move into US large cap stocks and commodities

• A shift towards European equities

Who are the primary users of ETFs according to the transcript?

• Only hedge funds

• Only individual investors

• A mix of retail investors, financial intermediaries, and institutions

• Only pension funds

What percentage of the corporate bond market is in ETF format?

• 50%

• 25%

• 10%

• 3%

How do ETFs provide an advantage in the fixed income market?

• By eliminating transaction fees

• By reducing investment risks

• By providing transparency and liquidity

• By offering higher returns

What regulatory change is driving ETF growth in the United States?

• The introduction of a new tax on ETFs

• The fiduciary rule requiring advisors to prioritize client interests

• A ban on active managers

• The removal of all fees associated with ETFs