Capital Group Expands ETF Suite to 25 in the US, Introduces Two New Equities and a High-Yield Bond Strategy

Strategic Insights -

Capital Group, a leading investment manager, has expanded its ETF suite to 25 in the US, with a significant portion of its business driven by registered investment advisors (RIAs). The company has introduced three new active ETFs, including two US equity strategies and a high-yield bond ETF, designed to cater to the needs of RIAs and other financial professionals.

The new ETFs, which commenced trading on the New York Stock Exchange (NYSE), aim to provide highly focused growth and value exposures for model portfolio builders. Capital Group's deep research capabilities and multiple manager system power these new ETFs. The company has brought its high-yield (HY) investing capabilities into the ETF wrapper, drawing on its extensive experience managing over $49B in HY assets.

The launch of these new strategies follows Capital Group crossing $66B in assets under management, with approximately one-fifth of the overall business driven by sales to RIAs. Eric Grey, Senior Vice President and Head of Financial Conglomerate and RIA Distribution, noted that RIAs are a significant user of ETFs in the industry and are increasingly interested in active strategies.

Key Takeaways:

  • Capital Group has expanded its ETF suite to 25 in the US, with a significant portion of its business driven by registered investment advisors (RIAs).
  • The company has introduced three new active ETFs, including two US equity strategies and a high-yield bond ETF, designed to cater to the needs of RIAs and other financial professionals.
  • The new ETFs provide highly focused growth and value exposures for model portfolio builders, powered by Capital Group's deep research capabilities and multiple manager system.
  • Capital Group has brought its high-yield (HY) investing capabilities into the ETF wrapper, drawing on its extensive experience managing over $49B in HY assets.
  • The company's RIA business has seen significant growth, with approximately one-fifth of the overall business driven by sales to RIAs.
  • Capital Group's RIA Insider online platform provides access to curated insights and industry news, a community of peers and thought leaders, and specialized resources for RIAs.

Statistics:

  • Capital Group's ETF suite has grown to 25 in the US.
  • The company has over $66B in assets under management.
  • Approximately one-fifth of the overall business is driven by sales to registered investment advisors (RIAs).
  • Capital Group has over $49B in HY assets under management.
  • The company's high-yield (HY) bond ETF provides exposure to HY investments for financial professionals and their clients.

Sources:

  • Source: Capital Group High Yield Fixed Income Assets Under Management, March 31, 2025.
  • Source: Morningstar Direct. U.S. ETFs only as of May 31, 2025.
  • Source: Broadridge Firm Sales as of February 22, 2022 through April 30, 2025.
  • Source: Morningstar Direct. U.S. ETFs as of May 31, 2025.
  • Source: Morningstar Direct. U.S. ETFs excluding Mutual Fund-to-ETF conversions (or ETFs that were converted from mutual funds) as of May 31, 2025.