Belgium’s financial regulator reported Thursday that exchange-traded funds overtook individual shares as the entry point for new investors in 2025, marking a significant shift in retail market behavior. The FSMA disclosed that 96,000 Belgians bought ETFs for the first time last year compared to 83,000 starting with equities, continuing a trend that began two years ago when new ETF investors numbered just 28,000.
The demographic divide is stark. First-time ETF buyers had a median age of 39 versus 45 for share buyers, with over half of new ETF investors aged 40 or under. Across Belgium’s active investor base of roughly 511,000 people, 45 percent of ETF traders are under 40 compared to just 25 percent of equity investors. The regulator cautioned that adding brokers to its tracking sample inflated some growth figures, particularly a 40 percent quarterly jump in ETF transactions attributed to expanded reporting coverage rather than genuine volume increases.
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FXnCO Insight
** Brokers targeting younger European retail clients should prioritize ETF product development and zero-commission structures, as the under-40 demographic is driving platform selection and asset allocation decisions.
Source: Finance Magnates