The U.S. exchange-traded fund (ETF) industry is off to a strong start in 2025, with 75 new listings in January. This surpasses the 63 new ETFs launched in January 2024. Last year was a record year for the ETF industry, with 747 new listings.
Buffer or defined outcome ETFs were particularly popular, attracting $14.7 billion in assets. In response to this demand, issuers launched 19 buffer ETFs in January 2025. Investors expect more equity volatility this year, especially in areas affected by government policy.
As a result, buffer ETFs could continue to gain adoption. Issuers that launched new buffer products in January include First Trust, Blackrock, Allianz, Innovator, Calamos, Goldman Sachs, and PGIM.
BlackRock’s new money market products
January also saw the launch of eight leveraged equity ETFs and one leveraged commodity ETF. These funds focused on volatile semiconductor stocks like ARM, AMD, and TSM, as well as fintech stocks like Riot and SoFi. Six new ETF firms entered the U.S. market in January.
Indexperts, powered by Linden Thomas & Co, launched two equity factor ETFs and a yield-focused bond ETF. Militia Investments launched a long/short equity ETF, while MRBL launched a moderate leverage ETF with 125% exposure. Peo Partners collaborated with AlphaQuest to launch a thematic private equity ETF, and Sarmaya Partners launched an active ETF focused on long-term global themes.
Thornburg also entered the industry with two active international factor equity ETFs. The robust growth and innovation in the ETF industry continue to attract both investors and new issuers to the market. As Aniket Ullal, SVP of ETF Research and Analytics for CFRA, notes, the U.S. ETF industry is demonstrating its strength and adaptability in the face of changing market conditions and investor preferences.