In the first half of the year, the value of assets held by German funds exceeded €4.6 trillion.
In the heart of Europe, the German fund industry has witnessed a remarkable growth spurt, with total assets under management reaching an impressive €4.63 trillion by mid-2025. Amidst this thriving landscape, Exchange-Traded Funds (ETFs) have emerged as a significant player, accounting for roughly 9–13% of the industry's assets.
According to data from Clearstream, ETF assets in Germany stood at around €423 billion as of mid-2025. However, estimates suggest that the overall ETF holdings might surpass €600 billion, indicating continued expansion beyond the Clearstream scheme or international ETFs relevant to German investors.
The ETF market in Germany has been on a steady growth trajectory, reflecting both increasing investor demand and inflows into passive investment products. In 2025 alone, inflows of €7.3 billion were recorded into passive ETFs focused on the German equity market, demonstrating ongoing strong interest this year.
Europe-domiciled ETFs have been on a record-setting trajectory, with $193.1 billion (about €178 billion at 2025 exchange rates) in net inflows year-to-date in 2025, compared to $137.8 billion at the same point in 2024. This suggests rapid growth continuing within the region, including Germany.
The evolution of the ETF market in Germany since 2020 can be summarised as follows:
| Year/Period | ETF Assets (Approximate) | ETF Market Share in German Fund Industry | Notes | |-------------------|--------------------------|------------------------------------------|---------------------------------------------| | 2020 (Estimate) | Likely less than €300 billion* | Smaller share, under 10% likely | Specific earlier figures not cited, inferred from growth trends across Europe | | Mid-2025 | €423 billion (Clearstream data) | Around 9-13% (based on €4.63 trillion total industry assets) | ETF holdings estimated to surpass €600 billion overall, indicating continued expansion |
(* Precise 2020 figures for Germany-specific ETFs were not directly in the search results but can be inferred as much smaller relative to the 2025 figures, based on European and German fund sector growth patterns in ETFs and the steady rise in inflows.)
In terms of asset distribution, bond funds in Germany hold €286 billion, with €129 billion in euro-denominated bonds and €70 billion in corporate bonds. Private equity funds represent the largest segment of closed-ended assets, with 46% of the total. Property funds, on the other hand, hold 32% of closed-ended assets, down from 50% five years ago.
The German market for closed-ended funds is primarily dominated by institutional investors, with open-ended retail funds accounting for €1,702 billion, open-ended Spezialfonds accounting for €2,208 billion, balanced funds in the retail category holding €366 billion, and equity funds holding €825 billion.
In conclusion, the German fund industry has experienced a robust growth, with ETFs playing an increasingly significant role. The ETF market in Germany continues to expand, boosted by both retail and institutional interest, making it an exciting sector to watch in the coming years.
In light of the growth of the German fund industry, there is evidence that individuals and institutions are increasingly investing in ETFs, a significant player accounting for 9-13% of the industry's assets. This trend is further highlighted by the substantial inflows of €7.3 billion into passive ETFs focused on the German equity market in 2025 alone.
Moreover, the evolution of the ETF market in Germany since 2020 has witnessed a steady growth trajectory, with ETF assets potentially surpassing €600 billion, indicating continued expansion beyond the Clearstream scheme or international ETFs relevant to German investors.
