I recently read a piece in Bloomberg highlighting Q1 ETF flows that were so massive, they were dubbed a “semi-shock.” After reviewing Morningstar flow data, $348 billion flowed into ETFs through April, totaling $1.23 trillion over the trailing twelve months. Even more interesting is the extreme adoption of active ETFs. $135 billion has flowed into active ETFs through April, representing almost 40% of all ETF flows — 15% higher than the three-year average of 25%. This shift is further emphasized by a recent ISS research report, which found that 90% of all new funds launched in Q1 were ETFs, and of those, 86% are active ETFs.
It’s clear that ETF momentum is only accelerating. But while flows soar, many asset managers still struggle to take control of their ETF distribution efforts—and that disconnect is costing them.
As someone who works closely with distribution teams across leading firms, I see the same friction points surface time and again. The problem isn’t just that ETF data is different. It’s that asset managers haven’t been given the tools or infrastructure to make it actionable.
Let’s break down why this is such a persistent challenge—and how we can fix it.
Be Aware: The Data Disadvantage in ETF Distribution
Here are some of the core challenges:
1. It Doesn’t Match What You Know
Mutual fund data has long been the gold standard for distribution intelligence—clean, structured, and integrated into existing reporting systems. ETF data, by contrast, often looks and behaves very differently. Trying to reconcile the two can feel like comparing apples to satellites.
We recommend planning ahead and working closely with your technology and analytics teams before you launch into ETFs and/or invest in expensive data solutions. Consider evaluating both build and buy options internally to ensure alignment with your overall data strategy.
2. It’s Expensive
ETF data isn’t readily accessible. Most firms must cobble together disparate sources from third parties, custodians, and platforms. The cost of acquiring, standardizing, and interpreting this data is significantly higher than traditional products—and many distribution teams are stuck waiting for a tech solution that never comes.
To make the investment worthwhile, pinpoint your top ETF distribution opportunities and identify the broker-dealers that are your strongest partners. This will help you determine where to allocate resources and better understand how much you’re willing to spend for data. Leverage existing consulting research or insights from wholesalers. Keep in mind, different distribution strategies require different data sets.
3. Advisor-Level Accuracy is Inconsistent
When it comes to understanding who is buying your ETFs, true transparency is hard to come by. Some of the most common ETF data sources can’t pinpoint the actual advisor responsible for the transaction, just the office level. Even when you do pay for or receive advisor-level data it may only cover one or two broker dealers. You may have transparency into RIAs, or a wirehouse, for example, but what about the rest of your segmented advisor network.
Advisor-level ETF data is becoming more accessible, but at a price. Without it, you’re left with incomplete data that only shows ETF activity where available, failing to reflect the full distribution landscape across all of your advisors.
4. Your Segmentation Models Might Be Missing the Mark
If ETF assets aren’t fully integrated in your advisor book of business or coverage strategy, you’re not seeing the whole picture. This gap complicates segmentation, territory planning, lead routing, and marketing personalization—making them less effective and increasing the risk of missed opportunities and misaligned efforts.
Data science can be used to fill in the blanks by generating estimates based on available information, while feedback from wholesalers can offer additional insights. Distribution strategies like having an ETF specialist cover these large opportunities are becoming more popular, and that takes away some of the risk of diluting your segmentation model.
5. ETF Data: Here Today Gone Tomorrow
ETF data is relatively new compared to mutual fund data, making the landscape even more volatile, unpredictable, and prone to rapid shifts. Industry partnerships or disagreements can quickly disrupt the data you rely on for distribution transparency.
Data can disappear and reappear for many reasons, but asset managers should take a proactive approach to navigate these fluctuations. This could mean building a robust database of historical records, and establishing business contingency plans to mitigate risks.
6. Frequency of Data Makes Business Management Tasks Complex
ETF data often arrives late, with updates typically released quarterly or monthly, which doesn’t align with how many internal asset manager teams track performance or pay out compensation. Sales leadership is left relying on outdated snapshots or resorting to spreadsheets and workarounds that create more confusion than clarity.
To manage the lag, consider special modifications to existing compensation plans that account for the data gaps or use data science to create fillers that even out the reporting. This can help mitigate the “lumpiness” of ETF data and provide more consistent management insights.
7. Revenue Sharing and Broker-Dealer Partnerships Are Evolving
As ETFs continue to dominate flows, revenue sharing models and business relationships with broker-dealers are evolving into more creative and less traditional arrangements. Cerulli recently published a paper on dual share class products and argued that based on current 12b-1 and sub-TA fees paid by mutual fund managers, the growing ETF business could displace billions in annual revenues for the BD industry.
According to FUSE research, 91% of asset managers are expecting advisor data package fees to grow over the next few years. With these expectations, and ETF growth across the industry, some BDs are introducing even more expensive versions of their advisor data to make up for that lost revenue that various mutual fund share classes can produce. Other BDs are even layering in access to the advisor data on top of the advisor data package as another bargaining chip to strengthen their partnerships and boost revenues.
National account teams need to adapt by exploring innovative ways to add value, such as training and educational support, various ways to leverage firm resources, and creating systems to track and optimize these evolving partnerships in real time. Without this proactive approach, they risk being left behind as conference priorities, platform access, and program placements become increasingly data-driven.
But Here’s the Reality: You Can’t Afford to Ignore This
The ETF engine is accelerating, not slowing down. If your distribution team can’t fully track, analyze, and act on ETF data, you’re playing without key players on the field. At TIFIN AMP, we work with leading asset managers to help them take control of their ETF distribution data—and use it to drive smarter decisions and deeper engagement.
We do this by:
- Aggregating and normalizing ETF, mutual fund, SMA, and alternative data in one platform alongside your marketing, CRM, and ad hoc spreadsheets
- Applying AI to pinpoint high-potential advisors and growth opportunities
- Delivering actionable insights in an intuitive user interface designed for the entire distribution team
Our platform integrates seamlessly into your existing Salesforce tech stack, providing a clear view of flows, key drivers, and emerging opportunities across all products and channels.
ETF data isn’t just a “nice to have,” it’s a competitive advantage. With the right platform, firms can transform fragmented data into actionable intelligences, driving smarter engagement, stronger advisor relationships, and better client outcomes.
The ripple effect is powerful: better recommendations, stronger portfolios, and more impactful results for end investors. At TIFIN AMP, we’re helping asset managers move faster, connect deeper, and build a distribution engine that drives sustainable growth.
Want to learn more, schedule a demo.
Sources:
Cerulli Associates, May 2025
Morningstar, US Fund Flows, March 2025
ISS MI Market Intelligence, Rep Movement Report, February 2025