Sports teams, leagues and star players could fuel the ETF industry’s next wave of funds, with Future Sports Co-Founder Leigh Taylforth predicting thousands of new ETFs centered on sports franchises and athletes. His company has created indexes for MLB and NHL teams, with CME Group listing futures tied to these benchmarks, and ETF issuers preparing to file funds based on them. Taylforth said on the Trillions podcast that long-term, potentially tens of thousands of sports-themed ETFs could emerge, calling it a 'white space' for the ETF industry.
He also noted the possibility of building indexes on individual athletes, measuring top performers only. The article contrasts this with the recent volatility in leveraged ETFs like SOXL, which saw $3.8 billion in inflows despite losing 20% of its value during a semiconductor sector rout, highlighting investor appetite for tactical trading even in high-risk funds.
Source: Bloomberg Markets · Summarized by HeadlinesBriefing