Corgi, an AI-focused fintech startup, has embarked on an aggressive ETF launch strategy, releasing 242 ETFs in June alone, marking a record for monthly ETF issuance. This includes over 100 ETFs from Corgi in June, positioning the company as the sixth-largest ETF issuer by product count. If Corgi maintains this pace and completes the registration for its additional 350 ETFs, it could overtake BlackRock as the issuer with the most ETFs in the market by the end of the year. BlackRock took over two decades to build a similar ETF lineup, a feat Corgi aims to achieve in less than a year.
The rapid expansion has been noted by Bloomberg senior ETF analyst Eric Balchunas, who described Corgi's strategy as bold and optimistic. While Corgi's issuance volume is high, the firm faces the challenge of attracting assets. Its ETF portfolio currently holds average assets of approximately $4 million, starkly contrasting with the industry average of about $3 billion. Balchunas highlights that more products do not automatically translate to more assets, given that while some Corgi ETFs have attracted inflows, most are still in early stages of development and asset accumulation.
Corgi's recent launches include 31 single-stock 2x Daily ETFs in June, with 15 funds on June 24 and 16 on June 26, some of which are the first or lowest-cost 2x ETFs for their respective underlying stocks. These leveraged ETFs, designed for sophisticated investors and short-term trading, allow for two times (2x) the daily performance of an underlying stock, with expense ratios as low as 0.20%. Corgi plans a broader staged rollout throughout the summer, aiming to broaden access to leveraged single-stock strategies while reducing costs for investors.
