Scheduled to open next year, the solutions will be constructed by IG based on BlackRock’s model portfolio range.
The offering will be available to UK investors via IG’s stockbroking platform, which opened in 2014.
Ian Peacock, IG’s head of UK and Ireland, cited the challenge posed to active mandates by ETFs for market share as a reason for the new range of portfolios.
“ETFs have become much more mainstream in the UK and Europe, and providing ETF-based portfolios will help to significantly broaden our reach as investor demand for these products continues to grow.”
The global ETF space is currently growing at a rate of 20% a year, and while the US has led the way over the past 25 years Europe is catching up, with estimates on market growth ranging from $1tn to $3tn in AUM during the next five years.
