IMF warns of concentration of liquidity providers in Irish ETF market

The International Monetary Fund has warned that Irish ETFs, which make up the majority of European ETFs, should look towards using a greater range of liquidity providers. The dominant player in the Irish ETF market is BlackRock, which controls 61% of ETF AUM in the country. However, just two liquidity providers make up to 90% of activity for certain ETFs from BlackRock. Ireland is the domicile for 60% of European ETFs by assets under management, with ETFs accounting for 23% of Irish fund AUM. The AUM of ETFs has more than doubled since 2017, totalling €878bn by 30 September 2021. T...