- From 2021 through February 2026, 68 firms completed 202 mutual fund-to-ETF conversions, representing approximately $263 billion in AUM and $38.6 billion in net flows during 2025.
- Conversion activity reached a record in 2025 with 60 conversions, exceeding 2024 totals (which were elevated by Stone Ridge’s conversion of 32 target-date funds). Momentum has continued into 2026, with 11 conversions completed through February.
- Mutual fund-to-ETF conversions are now a well-established strategy for entering and expanding in the active ETF market. While ETF share classes on mutual funds may eventually moderate conversion activity, any meaningful impact remains several years away.
