Kirsten Chang, senior industry analyst at VettaFi, joined Nate Geraci on this week’s ETF Prime to discuss the relentless pace of new ETF launches in 2026. The industry has launched nearly 370 new ETFs in just over four months. It is tracking toward 1,100 to 1,200 launches for the year, matching the record set in 2025, according to Chang.
Key Takeaways:
- ETF industry launches 370 products in four months, tracking toward 1,200 for the year.
- Procure Space ETF grows from $50M to $700M as issuers position for SpaceX IPO.
- Milliman launches healthcare inflation ETFs targeting 7% and 9% returns respectively.
Active managers dominate the new launches, with approximately 80% using active management. Chang described this shift as the democratization of the hedge fund. Meanwhile, the ProShares Genius Money Market ETF (IQMM) ranks as the top launch of 2026, exceeding $22 billion in assets. However, much of that growth comes from internal cash management, she said.
Space ETFs have attracted significant attention as issuers position ahead of a potential SpaceX IPO valued near $1.5 trillion, Chang noted. The Procure Space ETF (UFO ) has grown from $50 million to $750 million in assets over the past year. Recent entrants include the Roundhill Space & Technology ETF (MARS), the Tema Space Innovators ETF (NASA), and the Global X Space Tech ETF (ORBX), all competing with targeted tickers.
Thematic Innovation Accelerates
Within artificial intelligence infrastructure, Chang highlighted granular plays such as the Roundhill Memory ETF (DRAM). The fund hit $1 billion in 10 days and now holds $3 billion in assets. Similarly, the Sprott Rare Earths ex-China ETF (REXC) targets supply chain diversification for materials critical to the green energy economy and electric vehicles. The strategy specifically aims to reduce dependence on Chinese monopolies, according to Chang.
On the active management front, Fidelity expanded its systematic active lineup with four new ETFs: the Fidelity Enhanced Small Cap Growth ETF (FSEG), the Fidelity Enhanced Mid Cap Growth ETF (FEMG), the Fidelity Enhanced Small Cap Value ETF (FSEV), and the Fidelity Enhanced Mid Cap Value ETF (FEMV). Priced at 23 to 28 basis points, the funds represent aggressive competition for traditional active managers, Chang said.
See more: Fidelity Expands Enhanced Suite With Mid- & Small-Cap ETFs
Adam Schenck, principal and managing director at Milliman Financial Risk Management, discussed the firm’s entry into the ETF space. The firm launched two healthcare inflation-focused funds. The Milliman Healthcare Inflation Guard ETF (MHIG) targets returns commensurate with healthcare inflation at approximately 7%. In contrast, the Milliman Healthcare Inflation Plus ETF (MHIP) aims to overshoot healthcare inflation by 200 basis points, Schenck said. Milliman advises on $242 billion in assets and uses proprietary Health Trend Guidelines based on claims data.
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VettaFi LLC (“VettaFi”) is the index provider for UFO, for which it receives an index licensing fee. However, UFO is not issued, sponsored, endorsed, or sold by VettaFi, and VettaFi has no obligation or liability in connection with the issuance, administration, marketing, or trading of UFO.
