(Bloomberg) -- Record growth in US exchange-traded funds will power the industry’s assets to $15 trillion by 2028 from roughly $7 trillion currently, according to JPMorgan Chase & Co.’s asset management arm. 

“I think we’re just on the very beginning cusp of what could be substantial growth,” JPMorgan Asset Management’s global head of ETF solutions Bryon Lake said on Bloomberg Television’s ETF IQ from the ETF Exchange conference in Miami, Florida. “My view, in five years from now, the ETF industry more than doubles to $15 trillion.”

Explosive growth has propelled assets in US ETFs to roughly $7 trillion from under $2 trillion a decade ago. Last year saw 430 new funds launch even as stocks and bonds suffered their worst returns in decades, which nearly eclipsed 2021’s record of 459 launches.

While the first ETFs introduced passive, index-tracking strategies to the masses, actively managed ETFs have boomed in popularity in recent years. The JPMorgan Equity Premium Income ETF (ticker JEPI) has been a beneficiary of that trend — the fund absorbed nearly $13 billion in 2022, surpassing Cathie Wood’s ARK Innovation ETF (ARKK) for biggest annual inflow to an active fund.

While active ETFs currently comprise of about 5% of total ETF assets, Lake sees the strategies taking market share over the next few years.

“I think 10% to 20% of that could be in active,” Lake said. “So up to $3 trillion in the next five years could be in active.”

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