Inside the ETF Boom with Todd Rosenbluth | The Informed Investor 38

Episode 38: What if there are already too many exchange-traded funds—and that's actually a good thing?

Dive into the ever-evolving world of ETFs with industry expert Todd Rosenbluth to unpack the explosive growth, innovation, and complexity shaping today's ETF landscape. Todd offers a front-row perspective on how the industry has evolved from simple index-tracking funds to a universe of over 5,000 products—and counting.

With decades of experience and deep roots in ETF research and education, Todd shares his perspective on where the ETF industry stands today—and where it's headed next. He explores key trends, including the impact of the ETF Rule of 2019, which opened the door for a wave of actively managed ETFs. Todd explains why this surge in new products isn't necessarily a bad thing—but it does put more responsibility on investors and advisors to truly understand what they're buying.

From thematic strategies to leveraged and options-based ETFs, this conversation explores the growing complexity within the market. Todd emphasizes that while low cost, tax efficiency, and liquidity remain core advantages, they shouldn't be the only factors guiding investment decisions. "Cheaper" doesn't always mean "better," and knowing the use case behind each ETF is critical.

In Episode 38 of The Informed Investor, Dimensional's Mark Gochnour, Head of Global Client Services, speaks to Todd about all things ETF, including the future of ETF share classes, the ongoing shift from mutual funds to ETFs, and whether retirement accounts like 401(k)s will eventually embrace ETFs more fully. Plus, Todd shares why he believes the ETF industry's strong reputation remains intact—even as more sophisticated (and sometimes riskier) products enter the market.

LINKS FROM TODAY'S EPISODE:

VettaFi: https://www.vettafi.com

ETF Trends: https://www.etftrends.com

ETF Database: https://etfdb.com

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"The Informed Investor" on YouTube: https://www.youtube.com/playlist?list=PLCyJr6FFig-h1mA7rVP7Mbk0irFw2wA90

Dimensional Fund Advisors Shorts on YouTube https://www.youtube.com/@dimensionalfundadvisors/shorts

Mark Gochnour on LinkedIn https://www.linkedin.com/in/mark-gochnour-9a23598a/

Todd Rosenbluth on LinkedIn https://www.linkedin.com/in/todd-rosenbluth-89120a/

Learn more at https://www.dimensional.com/