Mackenzie's 2025 ETF Outlook identifies trends and tools to help advisors navigate a growing market
Mackenzie Investments has released its 2025 ETF Outlook, analysing the Canadian exchange-traded funds industry’s growth in 2024 and providing insights into trends expected to impact the market in the coming year.
In 2024, the Canadian ETF industry reached $519bn in assets under management, surpassing the $500bn milestone, with record inflows of $76bn. Mackenzie projects continued growth in 2025, with assets expected to increase by 15-20 percent.
The firm attributes this trend to the increasing integration of ETFs into broader investment portfolios and rising interest among retail investors.
Mackenzie’s 2025 Outlook outlines areas where advisors can focus their efforts to align with emerging opportunities in the ETF market.
The report highlights that ETFs tailored to defensive sectors or low-volatility strategies may help advisors position portfolios to mitigate risks amidst global market uncertainties, including potential shifts tied to the upcoming US election.
The firm also emphasizes the need for diversification as advisors seek to manage risk across client portfolios.
Mackenzie identifies global fixed-income ETFs and emerging market ETFs as key tools for advisors aiming to provide exposure beyond Canadian markets. These products could address the increasing demand for access to international opportunities while balancing risk.
Mackenzie’s research underscores the expanding role of option-based ETFs for advisors addressing client needs for income generation and tax efficiency. These products are designed to navigate periods of market volatility while managing risks.
Additionally, actively managed ETFs are positioned as valuable options for advisors who prefer professionally managed solutions in more complex asset classes such as fixed income and emerging markets.
The Outlook also points to the importance of ETFs focused on companies with strong financial fundamentals and stable earnings.
Mackenzie notes that these ETFs could be instrumental for advisors constructing portfolios aimed at long-term stability and performance consistency.
Mackenzie’s report positions ETFs as increasingly central to portfolio construction in the year ahead.
The firm expands its suite of ETFs with solutions that address both risk and opportunity, helping advisors meet evolving client priorities.
