The new front of the dispute between asset managers: leadership in ETFs and the impact on your finances

The Brazilian Exchange Traded Funds (ETFs) market reached the historic milestone of R$ 146 billion in assets in 2026, consolidating itself as an essential tool for personal finance management and portfolio diversification. Driven by 57 new launches this year alone and net inflows of R$ 32.5 billion in the first half (a 537% jump compared to 2025), the sector is experiencing a war of titans. Itaú Asset unseated global giant BlackRock, taking local leadership with R$ 37.2 billion under management in September 2026. For the individual investor looking to avoid abusive fees and optimize returns to get out of debt or grow capital, this fierce competition represents unprecedented access to cheaper, more efficient products, exempt from the "come-cotas" (bi-annual tax anticipation).

Context and background: the evolution of a 22-year-old market

The history of ETFs in Brazil started timidly and took more than two decades to reach its current boiling point. The starting point occurred in 2004, with the launch of the PIBB11 by Itaú Asset in partnership with the BNDES. At that time, the Brazilian stock exchange was seen almost exclusively as a trading environment for individual stocks, driving away investors focused on predictability.

In July 2026, the industry completed 22 years, but the real regulatory and market turning point happened recently. In 2024, a change in the Securities and Exchange Commission (CVM) rules favored the fee-based model (remuneration based on a percentage of the client's assets, rather than commissions per product sold). This aligned the interests of investment advisors and clients, removing the commercial friction that prevented the mass distribution of ETFs—products known for having historically lower management fees.

Following this change, the market jumped from R$ 50 billion in 2024 to the current R$ 146 billion in 2026. The Brazilian investor, traditionally conservative and focused on interest rates, found in fixed-income ETFs the ideal vehicle to allocate capital with low costs and tax advantages.

Concrete data: the X-ray of ETFs in 2026

The market expansion is reflected in robust numbers and a fierce dispute for market share, which currently serves about 860,000 investors on the B3:

• Total assets: R$ 146 billion in 2026 (a jump from R$ 50 billion in 2024), currently representing only 1% of the total fund industry in Brazil.
• Launches: 57 ETFs launched in 2026 and 10 in the pre-operational phase, in addition to the 62 launched throughout 2025.
• Inflows: R$ 32.5 billion in the first half of 2026, with fixed income accounting for R$ 27.1 billion of that amount.
• Leadership: Itaú Asset overtook BlackRock in April 2026. In September, the Brazilian manager had R$ 37.2 billion in assets distributed across 34 ETFs. BlackRock holds about R$ 30 billion.
• Other key players: XP Asset has 26 ETFs (nearly R$ 9 billion under management), having launched 11 products in 2026 (seven of them in fixed income). BTG Pactual expanded its portfolio to 32 products. Nu Asset launched four fixed-income ETFs in 2026, and Grão Gestora contributed two.

Practical application: how to use ETFs in personal finance

For the investor who needs to organize their finances, pay off expensive debts, and build a profitable reserve, ETFs offer a practical solution. The main financial advantage is the absence of "come-cotas" (the bi-annual tax anticipation typical of traditional funds) and the exemption from IOF (Financial Operations Tax), which enhances the effect of compound interest in the long term.

Step-by-step to choose the ideal ETF:

1. Define the financial goal: If you need predictability and are building a reserve to avoid indebtedness, the new fixed-income ETFs (which invest in government bonds or private credit) are the gateway.
2. Compare management fees: As Renato Eid, from Itaú Asset, highlights, "any product is a commodity." If two ETFs follow the same index (such as the IMA-B or the Ibovespa), the investor should choose the one that charges the lowest management fee, reducing the cost that erodes profitability.
3. Evaluate the management style (Passive vs. Active): Most ETFs just copy an index. However, the market has opened up to active management. In February 2026, J.P. Morgan launched the JEPI39, the first actively managed ETF BDR listed on the Brazilian stock exchange, focused on outperforming the market.
4. Check liquidity: Buy ETFs from solid managers (such as Itaú, XP, BlackRock) that ensure ease of buying and selling on the B3, allowing you to access your money quickly in case of a financial emergency.

Impact on the sector, users, and market

The transformation directly affects three main fronts. For asset managers, the challenge is the profit margin. With the commoditization of products, competition is driven by scale and relationships. The fact that institutional investors represent 56.1% of Itaú Asset's volume shows that "wholesale" supports the base, but retail (individual investors) is the frontier for growth.

For investors (users), the impact is extremely positive. The entry of fixed income into ETFs democratizes access to institutional private credit strategies that previously required million-dollar investments. Furthermore, the arrival of ETF BDRs from firms like Franklin Templeton allows for global diversification in dollars simply.

In the context of the Latin American market, Brazil is still in its infancy. While ETFs in the United States exceed US$ 15 trillion (with Vanguard surpassing BlackRock by reaching US$ 4.39 trillion locally), the Brazilian market represents 1% of the local fund industry. Brazil serves as a regulatory laboratory for the region, especially in the integration of digital assets and active BDRs.

What is still unknown

Despite the optimism, there are gaps that the market is trying to fill:

• The impact of 2027 regulation: The CVM promised a public consultation in 2026 to publish the rule for local active ETFs in 2027. The level of flexibility that managers will have to operate actively without the "shell" of the BDR is still unknown.
• BlackRock's counteroffensive: As the world's largest ETF manager, it is unknown what aggressive pricing or distribution strategy BlackRock will adopt to regain the leadership lost to Itaú Asset in Brazil.
• The price war (Fees): To what extent can management fees fall in fixed income before the business becomes unviable for smaller managers? The answer to this will define whether there will be consolidation (mergers and acquisitions) in the sector.

What to expect next

The next steps of the industry are already mapped out by the main institutions. By the end of 2026, J.P. Morgan expects to have at least ten actively managed ETF BDRs in the country, expanding the success of JEPI39. BlackRock, according to its country manager Bruno Barino, will launch its first fixed-income ETFs in Brazil later this year, entering directly into the dispute for the R$ 27.1 billion that the sector brought in during the first half.

In parallel, Franklin Templeton is awaiting clarity from the CVM to structure active ETFs directly in Brazil, ceasing to rely exclusively on the BDR model. XP Asset will continue its shelf expansion, with a focus on private credit, according to its CEO Leandro Bousquet.

Frequently asked questions

1. What differentiates an ETF from a traditional investment fund? The ETF is traded on the stock exchange (B3) as if it were a stock, allowing buying and selling throughout the day. Additionally, ETFs in Brazil do not suffer from "come-cotas" (bi-annual tax anticipation), which allows money to earn more over time.

2. Why did fixed-income ETFs grow so much in 2026? Because they combine the Brazilian's historical preference for interest rates and predictability with management costs much lower than those charged by large banks. The IOF exemption and the ease of diversifying into government and private bonds attracted R$ 27.1 billion in the first half of 2026.

3. What is an actively managed ETF via BDR, like the JEPI39? It is a receipt traded on the Brazilian stock exchange (BDR) that represents an ETF listed abroad. Unlike passive ETFs that only copy an index (like the Ibovespa), active management allows the manager to choose assets daily in an attempt to outperform the market and deliver higher returns.