Fidelity ETF Leader Craig Ebeling Breaks Down 2025 ETF Market Data

Core Insights - Fidelity's ETF market data for 2025 indicates a significant shift towards active ETFs, with approximately 36% of overall fund flows directed towards active strategies, and over 46% in the intermediary space [1] - The market has seen a broadening effect benefiting large value, international developed, and small- and mid-cap stocks despite volatility [1] - In fixed income, there is a notable movement towards ultra-short strategies, while advisors are leaning towards core passive and core-plus active funds [1] ETF Flow Trends - Active ETFs are gaining traction, particularly among advisors, with a noted increase in flows towards active strategies in small-cap segments, which saw a positive flow of $17 billion [1] - Passive strategies continue to dominate in low-cost, tax-efficient large-cap core beta, but there is a surprising shift towards active in foreign considerable growth [1] ETF Fees and Flows - A survey indicated that 43% of overall ETF flows are directed towards funds charging fees between 20 to 40 basis points, with 46% of advisor-driven flows also in this range [1] - ETFs charging 61 basis points or more received the second-largest share of flows, although this segment saw the lowest percentage of advisor-driven flows, indicating a reluctance towards higher fees [1] ETF Options - Fidelity offers a diverse range of ETFs, including both active and passive strategies, such as the Fidelity Enhanced International ETF (FENI) and the Fidelity Yield Enhanced Equity ETF (FYEE) [1]