The birth of a new juggernaut: Amundi acquires Lyxor

With $1,260Bn in ETF assets, Europe is a market five times smaller than America. The top 20 issuers represent more than 99% of the total market share. US-based giant iShares dominates the market with 46% of the assets, followed far behind by DWS (11%) and Lyxor (8%).

Source: Tracknisight (Q1, 2021)

Amundi acquires Lyxor

American ETF provider iShares clearly dominates the ETF market, being the largest provider in America and Europe.

However, an important deal was announced at the end of the first quarter that may bring some competitive concerns to iShares particularly in the EMEA zone.

Source: Trackinsight (Q1, 2021)

Indeed, Amundi has announced the acquisition of Lyxor from Société Générale for $825Mn in the beginning of April. With this acquisition, Amundi is hoping to become the European leader in ETFs, obtaining a market share of over 14% with assets of $180Bn.

According to the data of this first quarter, this strategic and large acquisition would place Amundi just behind iShares with its $500Bn in European-based assets.

However, Amundi will probably top another ranking, based on the width of their product range. With 613 ETFs available in Europe, compared to 580 ETFs for iShares, the acquisition gives Amundi more than 20% of the market share in terms of number of ETFs. However, some ETF will merge and other will close as product ranges will rationalize, and to duplication of two similar products.

This acquisition is a sign of consolidation of the ETF market. Today five providers compete for more than three-quarters of the market in Europe: iShares, DWS, Lyxor, UBS and Amundi.

Source: Trackinsight (Q1, 2021)

For more detailed information on providers across regions, download our 2023 Global ETF Survey.