Amundi, Europe’s largest listed asset manager, has listed 11 new exchange-traded funds (ETFs) on the London Stock Exchange, according to a report from the Financial Times. This move reinforces Amundi’s commitment to the UK market and brings the total number of Amundi ETFs available in London to 272.
Expanding Investment Options
The newly listed ETFs are based in Ireland and are open to both retail and institutional investors. One of the standout products is the Amundi Prime All Country World UCITS ETF Dist, which Amundi claims is the lowest-cost all-country ETF in Europe, with an ongoing charge of just 0.07%. This ETF has over €2 billion in assets under management, offering investors a cost-effective way to access global markets.
Other newly listed ETFs include the Amundi MSCI USA Mega Cap and the Amundi MSCI USA Ex Mega Cap UCITS ETFs ACC. The former is noted as the cheapest ETF with this exposure, with ongoing charges of 0.15%, while the latter is the only ETF of its kind as of January, according to Amundi.
Strategic Move Amidst Growing Demand
Amundi’s decision to expand its ETF offerings in London is strategic. Eric Bramoullé, CEO of Amundi’s UK arm, emphasized that the launch “underscores our commitment both to the UK market and to empowering investors with innovative and cost-effective choices that are suited to their needs.”
This move comes at a time when ETFs are gaining popularity among UK investors as flexible and cost-efficient investment tools. Ashkan Daghestani, head of ETF and indexing sales for the UK and Ireland at Amundi, noted that UK investors increasingly use ETFs for risk management and portfolio diversification. He highlighted that these new offerings provide a mix of core exposures and innovative products designed to help investors build robust and diversified portfolios.
Competing in a Growing Market
Amundi is the second-largest ETF provider in Europe, managing over €270 billion in ETF assets and more than €2.2 trillion in total group assets. The asset manager is controlled by Crédit Agricole and has been expanding its product range to stay competitive in the rapidly growing ETF market.
Earlier this month, Amundi launched a range of Lifecycle target-date ETFs for retail investors in Europe. This strategic move gives Amundi a competitive edge over its mutual fund rivals, offering investors a simplified, cost-efficient way to invest according to their target retirement dates.
Opinion: Smart Move Amid Market Shifts
Amundi’s expansion in the UK market is a smart move, considering the growing demand for low-cost investment solutions. ETFs are increasingly popular among both retail and institutional investors because of their flexibility and lower fees compared to traditional mutual funds. By offering competitive pricing and a diverse range of products, Amundi is positioning itself as a strong competitor in the UK’s investment landscape.
Additionally, Amundi’s focus on innovation, such as the Lifecycle target-date ETFs, demonstrates its proactive approach in adapting to changing investor needs. As investors continue to seek cost-effective ways to diversify their portfolios, Amundi’s expanded presence on the London Stock Exchange is likely to attract significant interest.
