2025 report adds capital markets data as mutual funds and ETFs hit new highs
Canada’s investment fund industry has delivered another landmark year with new data from the Securities and Investment Management Association (SIMA) revealing record asset levels, surging sales and a growing shift by investors toward market-linked products.
The newly released 2025 Annual Statistics Report not only tracks mutual fund and ETF activity, but for the first time also integrates key public equity and debt market indicators to provide broader capital markets context.
The enhanced report positions investment fund trends alongside developments in Canadian stock and bond markets, giving financial advisors a more complete view of how client assets are moving in response to economic conditions. As SIMA notes, the publication remains the industry’s most detailed source of fund data, now strengthened by market-level insights.
“This report is the definitive industry source for investment fund assets and sales data,” said Ian Bragg, SIMA’s Vice-President of Research and Statistic. “By expanding this year’s report to include key capital market indicators, we can see investment fund activity alongside developments in Canada’s public equity and debt markets, helping to situate fund trends within broader market conditions.”
Mutual funds closed 2025 with assets under management reaching $2.53 trillion, reflecting a 12.7% year-over-year increase and the highest level on record. ETFs continued to gain momentum, with assets climbing to $713 billion — a 37.8% jump from the prior year.
Sales figures were equally impressive. Mutual fund net inflows totalled $40.5 billion in 2025, more than double the previous year’s amount, while ETF net sales hit $125.8 billion, marking the first time annual ETF inflows surpassed the $100-billion threshold. The combined results underline the ongoing preference among Canadian investors for pooled investment vehicles.
Stronger domestic capital markets provided a favourable setting for this expansion. Canadian equities delivered notable gains last year, with the S&P/TSX Composite Index rising 28.2% over the year. Total market capitalization on Canadian exchanges exceeded $6.5 trillion, while outstanding domestic debt securities continued to grow — reinforcing the importance of both stock and fixed-income markets in funding economic activity.
“Investment funds play an important role in connecting investors to capital markets in Canada and beyond,” said Bragg. “This report illustrates how mutual fund and ETF growth, sales activity, and market conditions evolved in 2025. It’s clear that strong market returns and declining interest rates contributed to an investor shift from deposit products, such as GICs, toward mutual funds and ETFs in order to participate more fully in market returns.”
The findings highlight continued client appetite for market exposure, accelerating ETF adoption and a broader move away from traditional deposit products. The addition of capital markets data also offers deeper insight into how macro conditions are influencing investment decisions — a useful tool for portfolio conversations in the year ahead.
