Low cost, passive US equities still dominate the ETF universe. Despite much focus on active ETFs, ESG and new asset classes, the bulk of assets in ETFs will remain in passive US equities for the foreseeable future. Investors remain very focused on fees, the proportion of issuers that plan to launch funds in the US is still rising, despite increasing launches in other regions, and two thirds of issuers and investors will be active in US equities. 100% 65%67% 65% 100% of Issuers plan 65% of Issuers plan to 67% of investors plan 65% of investors to launch in US launch a US equity ETF to buy a US equity ETF buy ETFs for low fees Issuer Investor Low fees continue to rank as the number one priority for ETF investors. The low cost of ETFs is an advantage not only to individual investors, but also to the growing number of ifnancial advisors who use ETFs as asset allocation building blocks in client portfolios. Tax efifciency continues to rank as the second highest priority for ETF investors. Why do you invest in ETFs? 70 65% 2020 2019 60 56% 48% 46% 50 36% 40% 40 28% 30 24% 20 10 0 Low Fees Tax Efficiency Liquidity Income 3