Fidelity Investments and BlackRock just published a study on Exchange Traded Funds (ETFs) of more than 1,000 individual investors. The study looked at what types of investors are currently in ETFs, who might be interested in ETFs in the future, and the key to continued growth in the ETF world.

The ETF industry continues to grow at a record pace, but 2/3 of US investors don’t own ETFs. The study findings show that the building momentum in ETFs is likely to continue. Here are three reasons to believe that ETF growth will continue?

– 46 percent of current ETF owners plan to increase their ETF investments in the next three years

– One in every five non-owners plans to purchase an ETF for the first time in the next year

– 30 percent of younger investors (25 to 49) plan to purchase ETFs in the next year compared to only 18 percent of those 50 or older. The younger generation should provide even more growth in ETFs.

Fidelity’s SVP of Retail Brokerage, Andrew Brownsword, said that while ETF investments have more than doubled in the past five years, this study shows that ETF growth has a lot of room to run. Interestingly, 61 percent of non-owners of ETFs said the primary  reason they haven’t invested in ETFs is lack of familiarity with the product. Understanding how to evaluate an ETF was the most commonly noted concern.

While ETFs and mutual funds are sometimes seen as either/or type products, 8 out of 10 investors in this survey saw a benefit in combining ETFs and mutual funds inside a portfolio. will continue to monitor the ongoing growth in ETFs and how online brokers respond to increased demand in this area.

For more on this survey click here.