ETFs gain traction in US institutional market

About 14% of pension funds, endowments and foundations use ETFs in their portfolios, while institutional investors account for half of all ETF assets invested in the US. US plan sponsors mainly use ETFs to make tactical adjustments to their portfolios or to gain exposure to certain markets while transitioning assets from one manager to another. Nearly 30% use ETFs to gain passive exposure in a core-satellite portfolio and about 25% use them "for more general portfolio completion," Greenwich says. Greenwich surveyed 43 plan sponsors and 27 money managers to get a sense of how they u...