Royal London and M&G Expand into Europe’s Active ETF Market

Royal London Asset Management (RLAM) is making strategic moves to capitalize on Europe's burgeoning active ETF market. CEO Hans Georgeson confirmed plans to establish a Dublin office within 18 months, signaling a broader push into international markets. The firm aims to bolster its £184 billion asset management arm with new equity and fixed-income ETF products.

The active ETF sector offers fund managers opportunities to outperform benchmarks like the FTSE 100 while providing investors with cost-efficient, tradable alternatives to mutual funds. This contrasts with passive ETFs that simply track indices. RLAM's ambition positions it among potential top-ten players in this rapidly evolving market segment.

Goldman Sachs research underscores the sector's growth trajectory, with assets under management showing significant expansion since 2019. The accessibility of ETFs makes them crucial vehicles for firms seeking global reach—a key factor driving RLAM's expansion strategy.