From Yahoo Finance: 2025-05-27 10:49:00

In 2025, the ETF market is a speculative arcade with record-high fees. The average fee for new ETFs is 65 basis points, up from under $6 in 2024. The rise in costs can be linked to the race for lower fees among top ETF firms. Despite pricey new offerings, the average asset-weighted expense ratio for all US ETFs is 17.5 basis points.

Investors are still paying less overall, with over half of total ETF assets in funds charging 10 basis points or less. The market has shifted to pricier, niche ETFs as index giants attract investors with low-cost options. Leveraged, single-stock ETFs are seeing unprecedented cash inflows, marking a new phase in the ETF landscape.



Read more at Yahoo Finance: Newly Minted ETFs Buck Vanguard Effect as Fees Hit Record High