The $2trn question: Why have ETFs failed to catch fire in the UK?

ETFs have been a monumental success since the first US listing in 1993. Globally over the last ten years, assets under management in ETFs have grown by 600% to over US$3trn. But in the UK, the growth of ETFs is limited mainly to the institutional arena; we have not seen their adoption by retail markets and among advisers. Many UK advisers remain entrenched in the use of active vehicles. This situation is even more curious when you consider S&P data that shows actively managed UK equity funds have routinely failed to beat their benchmark, with three-quarters of managers in this categ...