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Who invented ETFs?

Modern ETFs grew from early index-fund ideas; the first widely recognized U.S. ETF was SPDR S&P 500 (SPY) in 1993.

February 17, 2026

The ETF concept evolved from earlier index investing and exchange-traded products. In the U.S., the first widely recognized ETF is often cited as the SPDR S&P 500 ETF (SPY), launched in 1993. Canada also had early exchange-traded index products in the late 1980s/early 1990s.

Rather than a single "inventor," ETFs emerged through a mix of financial innovation, regulatory approvals, and demand for low-cost index exposure that could trade intraday.

If you're researching the origins, it helps to separate: (1) index funds (mutual fund format), (2) exchange-traded index products, and (3) the modern ETF structure with creation/redemption and authorized participants.

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Who invented ETFs?