Broadridge Financial Solutions Inc., a global Fintech leader, has released a new whitepaper titled "Active ETFs: Achieving Escape Velocity," analyzing the substantial growth and competitive dynamics within the active ETF market. According to the report, active ETF assets have surged over 600% in the past five years, reaching $631 billion in 2024. The whitepaper forecasts further expansion, anticipating assets to climb to $1.2 trillion by 2027. Despite this growth, the market faces challenges, including a concentration of assets among the top 10 active asset managers and the fact that only 11% of active ETFs launched in the past three years achieved more than $100 million in their first year. The report outlines strategic imperatives for asset managers, emphasizing the importance of robust distribution, particularly within RIA channels, and the need for unique investment strategies, proprietary distribution channels, and strong brand identity. Broadridge's data-driven insights aim to guide managers in optimizing their product, strategy, and distribution decision-making to capitalize on the promising yet challenging landscape of active ETFs.