According to the investment management firm BMO Global Asset Management, the Asia Pacific (ex-Japan) ETF industry has surpassed US$123 billion and experienced record net inflows of US$11 billion in the first half of 2016.

A key driver of growth is the growing use of smart beta and fixed income ETFs which achieved record level net inflows of US$2.6 billion in the first half.

The region’s AUM compares to US$2.3 trillion in AUM for the U.S. market and US$529 billion in AUM for the European market.