Wealth Management
Derivative income ETFs are becoming more popular among financial advisors seeking reliable income amid ongoing market volatility. A 2024 Cerulli Associates report found that 15.2% of advisors are already using these strategies, with another 7% planning to adopt them soon.
These ETFs, which generate income by selling options, have attracted over $55 billion in inflows across 2023 and 2024, with the strongest uptake seen in wirehouse channels. As inflation concerns and demand for consistent yield grow, product development is accelerating—6% of ETF issuers are actively building new funds and 13% are in planning.
Advisors are also increasingly interested in defined outcome ETFs, which offer preset downside protection, though adoption remains more limited for now.
Finsum: Overall, both categories reflect the shifting demand toward more predictable, income-focused solutions in today’s uncertain markets.
As expectations for interest rate cuts build, emerging market (EM) debt is drawing increasing attention from investors. Lower U.S. rates typically weaken the dollar, making EM currencies more attractive and boosting returns on dollar-denominated EM bonds.
This favorable backdrop has already spurred strong demand, with EM bond issuance in Central and Eastern Europe, the Middle East, and Africa reaching $190 billion in the first half of 2025, on pace to break historical records.
The Vanguard Emerging Markets Government Bond ETF (VWOB) offers investors a low-cost, diversified way to access this space, boasting a 30-day SEC yield of 5.66% and nearly 7% YTD return. As rate cut bets intensify into September, VWOB is positioned to benefit from both income and potential price appreciation.
Finsum: For investors seeking EM exposure without the complexities of individual bond selection, ETFs offer compelling options
Vestmark has introduced a new unified managed account (UMA) that integrates private assets alongside ETFs, mutual funds, equities, fixed income, and direct-index SMAs, developed in collaboration with iCapital, BlackRock, and Dynasty Financial Partners. This tax-managed UMA enables RIAs to streamline portfolio construction by combining traditional and alternative investments in a single account.
Initially, Dynasty advisors can access subscription-based alternatives via iCapital’s platform and leverage BlackRock’s model portfolios. Vestmark CEO Karl Roessner said the innovation delivers on UMA’s long-promised simplicity and efficiency, supporting the firm’s $1.7 trillion in platform assets.
BlackRock emphasized the move enhances their reach in the RIA channel, while Dynasty highlighted the ability to scale sophisticated wealth strategies for HNW clients.
Finsum: The launch follows another major announcement from Dynasty’s investment banking arm, reinforcing its position in high-net-worth advisory solutions.
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A coalition of top financial planning organizations is urging the Department of Labor to finalize its proposed Retirement Security Rule, which would require financial professionals to act in clients' best interests when giving retirement advice.
In a joint letter to Labor Secretary Lori Chavez-DeRemer, leaders from the CFP Board, FPA, NAPFA, and XY Planning Network argued that the rule fills critical regulatory gaps left by standards like the SEC’s Reg BI. The letter cited research showing that 92% of Americans expect fiduciary advice, even though current laws don’t always guarantee it—especially for one-time retirement guidance.
The organizations pushed back on claims that fiduciary rules restrict access to advice, pointing to firms like XYPN that serve younger, mass-affluent clients without asset minimums. The coalition also praised the rule’s efforts to modernize outdated protections, especially regarding insurance products that currently fall outside federal fiduciary oversight.
Finsum: Financial advisors should watch these updates because they will affect their practice management.
Ruthenium, a rare platinum group metal, has nearly doubled in price over the past year to $800 an ounce, outperforming gold and silver thanks to surging demand from artificial intelligence applications. The metal’s unique hardness and conductivity make it ideal for hard disk drives used in data centers powering AI, where it enables high-density storage through ultrathin coatings.
Unlike widely traded metals, ruthenium is sourced only as a byproduct of platinum mining, with global output limited to just 30 tons annually—a figure expected to decline further due to underinvestment. Analysts predict a supply deficit next year as demand outpaces dwindling production, intensifying competition for this obscure element.
Despite being used in tiny quantities, ruthenium’s role in expanding cloud infrastructure is critical, with hard disk sales projected to rise 16% in 2025.
Finsum: Unless alternative technologies emerge, ruthenium’s strategic value and price are likely to climb even higher.
The Trump administration is preparing an executive order that would allow 401(k) retirement plans to invest in private equity, a move expected to benefit asset managers seeking access to the $12.5 trillion defined-contribution market. The directive, still under discussion, would build on prior efforts during Trump’s first term to integrate private equity into retirement portfolios, previously limited by legal and fiduciary concerns.
Currently, most 401(k) investments are concentrated in traditional stocks and bonds, as plan administrators have been cautious about incorporating complex and illiquid assets.
However, critics warn that such a shift could increase fees and risks for savers while exposing plan sponsors to potential lawsuits. The executive order, if signed, would mark a significant change in U.S. retirement policy and potentially reshape how Americans build wealth for retirement.
Finsum: Private equity could offer retirement savers higher long-term returns and a broader array of investment options, particularly as the number of public companies continues to shrink.