ETF Expansion: A Revolution in Investment Management Models

BlackRock's CEO in Brazil, Bruno Barino, predicts significant expansion of ETFs with the advancement of the fee-based model. The transition is happening faster than expected and ETFs will be increasingly used across all areas of investment portfolios.

The continuous growth of ETFs (Exchange-Traded Funds) in Brazil gains new perspectives with the advancement of the fee-based model, according to Bruno Barino, CEO of BlackRock in the country. The panel at Expert XP revealed that the industry is undergoing a significant transformation from traditional models to more modern and efficient approaches. According to Barino, the next step will be integrating ETFs into all aspects of investment portfolios, reflecting a global trend that seeks greater transparency and cost reduction. The adoption of fee-based in Brazil is happening faster than many anticipated, allowing managers to focus on portfolio structuring rather than dealing with individual asset selection. This transition not only impacts BlackRock and Vanguard but also XP Asset, which points out a change in how portfolios are formed, separating Beta (market indices) from Alpha (active management). These changes indicate a scenario where ETFs will become fundamental in wealth structuring and investment recommendations for clients. Source original: InfoMoney

Source: InfoMoney