Amundi ETF
Amundi as a company has been established in 2010. But its creators (credit Agricole and Société Générale) have been around for much longer of course. Société Générale created its first ETF in 2001 so you could say that the people behind Amundi have a longer history in providing ETF’s than the company itself.
Of course all these ETF specialists have moved over to the newly established Amundi corporation so they can rightly claim their long ETF history. Today Amundi ETF is the leading European based ETF provider. Here we will ask ourselves the question what the pros and cons of Amundi ETF are. Where do they excel and where do they falter?
Pros of Amundi ETF’s
Amundi has seen its ETF portfolio grown steadily in the past few years. The French based ETF provider is keen in understanding the needs of its customers.
Amundi, strong in European ETF’s
Being a European based ETF provider it goes without saying that they know their own market well. Amundi created many regional European ETF’s. The Eurozone and the larger European region account for about 50% of the worldwide regional spread of Amundi. So when you want to invest in Europe Amundi offers a wide range of options in ETF trading.
Focus on emerging markets
Amundi ETF is creating more and more emerging market ETF’s. In 2016 Amundi won first prize as the best emerging market ETF with their AMUNDI ETF MSCI EMERGING MARKETS UCITS ETF. As an asset manager Amundi is also very well placed within the emerging markets sector. They are regarded as one of the leading asset managing firms in emerging markets (and again won first prize for that in 2017).
A team of highly innovative ETF specialists
Amundi employs one of the most innovative ETF creating specialists in the world. They are really on top of new innovations and their synthetic ETF’s are very sophisticated although you will know by now that I am not a fan of synthetic ETF’s.
Cons of Amundi ETF
Too much focused on synthetic ETF’s
Amundi is heavily involved in the creation of synthetic ETF’s. From the about 100 ETF’s Amundi manages almost all are synthetic. But we must add that things are going to change. They intend to switch some existing synthetic ETF’s to physical replicated ETF’s.
This is a move they are playing because the market tends to prefer physical ETF’s over synthetic ones (and I must say I am one of these physical advocates). To be honest, I would want to trade more Amundi ETF’s if only they offered more ETF’s with physical replication.
No commodity ETF’s
Amundi is not active in the commodity ETF market. That is a drawback for investors who prefer to trade with only a handful or 1 ETF provider. For me personally I do not consider that a real con as I have opted for other ETF providers to trade the commodity market.
Coverage in Asia is a bit low
Although Amundi has offices around the world and Asia is one of their most important regions for their asset management sector they offer relatively few Asian regional ETF’s. I myself think they will step up their Asian presence but for the time being they are a bit under-active.
The future of Amundi ETF
Most certainly, Amundi will remain one of the leading ETF providers in Europe. With their recent switch to cover more physical ETF’s they admit they were a bit wrong on that but it is a very strong point that they listen to the market closely.
Again I want to stress the capabilities of the Amundi ETF team and that is why I am confident Amundi will be a very interesting ETF provider for years to come.
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