ETF launch mania is hitting peak absurdity.
900 new ETFs already in 2026, tracking toward 1,470 by December — blowing past 2025's record of 1,050. That's basically 4 new funds launching every single trading day.
The real story? Leveraged products are exploding. 300 leveraged ETF launches this year vs 200 in all of 2025 and under 50 in 2024. That's a 6x jump in two years.
This screams late-cycle behavior. When product innovation shifts from solving real problems to just slapping 2x or 3x leverage on everything, you're not building tools — you're feeding speculation. The asset management industry is clearly chasing retail FOMO and options-like action in wrapper form.
Most of these funds will gather dust, fail to hit critical mass, and shut down within 18 months. The winners? A handful of thematic plays or smart beta strategies that actually fill a gap. The losers? Retail investors who chase performance into overhyped, under-liquid products with fat expense ratios.
Watch ETF closures in 2027. That's when the cleanup begins.
900 new ETFs already in 2026, tracking toward 1,470 by December — blowing past 2025's record of 1,050. That's basically 4 new funds launching every single trading day.
The real story? Leveraged products are exploding. 300 leveraged ETF launches this year vs 200 in all of 2025 and under 50 in 2024. That's a 6x jump in two years.
This screams late-cycle behavior. When product innovation shifts from solving real problems to just slapping 2x or 3x leverage on everything, you're not building tools — you're feeding speculation. The asset management industry is clearly chasing retail FOMO and options-like action in wrapper form.
Most of these funds will gather dust, fail to hit critical mass, and shut down within 18 months. The winners? A handful of thematic plays or smart beta strategies that actually fill a gap. The losers? Retail investors who chase performance into overhyped, under-liquid products with fat expense ratios.
Watch ETF closures in 2027. That's when the cleanup begins.