Fidelity International is targeting a threefold increase in its European active ETF assets over the next two years, as it looks to challenge JPMorgan’s dominance of the rapidly expanding market.
The asset manager currently oversees almost $17bn in European active ETFs, making it the region’s second-largest provider. Samantha Ricciardi, Fidelity’s head of EMEA, has described growing the business as one of the group’s largest strategic priorities.
The ambition comes as active ETFs take a growing share of European portfolios. Separate research from Fidelity found that asset allocators expect their average allocation to active ETFs to rise from around 10% currently to roughly 14% over the next 18 months, an increase of more than 40%.
Europe’s active ETF market had reached €123bn by the end of August, almost five times its size at the end of 2022, according to Morningstar. However, it remains highly concentrated. JPMorgan controls just over 40% of assets, while Fidelity held around 9% of the market earlier this year.
Fidelity has been expanding both its ETF team and product range during 2026. Its existing line-up includes its benchmark-aware equity research enhanced strategies, while it has also moved into areas including options-based income and downside-protection strategies.
Our view
David Batchelor, senior analyst at QuotedData, said: “The interesting part of Fidelity’s target is the scale of the ambition. Active ETFs have already moved beyond being an experimental sideline for the large traditional asset managers, but tripling assets in two years will require Fidelity to capture a significant share of the market’s continuing growth rather than simply benefiting from it. Competition is intensifying rapidly, with established ETF providers and traditional active managers both expanding their ranges. The next stage should therefore tell us more about whether investors develop strong loyalties to individual active ETF providers, or simply choose whichever strategy, price and exposure best suits a particular part of their portfolio”.
