Breaking the billion-dollar mark is a big deal for any asset manager. Doing it in under two years, with less than $5 million in seed capital, is rarer still. Tema ETFs, a New York–based provider of thematic exchange-traded funds, has hit $1 billion in assets under management (AUM), cementing its place among the fastest-growing ETF issuers in recent memory.

But the milestone isn’t just about speed—it’s about who’s buying. More than 90% of Tema’s AUM comes from institutional investors like RIAs, wirehouses, family offices, and other fiduciary players. That’s a strong endorsement in a crowded ETF market where most newcomers struggle to get noticed, let alone secure serious institutional adoption.

Big Bets, Fast Payoffs

Tema’s growth has been turbocharged by its latest products. The Tema S&P 500 Historical Weight ETF Strategy (DSPY) and the Tema Electrification ETF (VOLT) have raised more than $700 million combined in less than eight months of 2025, despite starting with just $4 million in seed AUM. In an industry where most ETFs sputter out below $50 million, those numbers are eye-catching.

The growth isn’t isolated to a couple of hits either. Five of Tema’s six funds have cleared $60 million AUM, with half of those now over $100 million. In short: demand is broad, not just hype-driven.

Leadership Reinforcements

With momentum on its side, Tema is bolstering its bench. The firm has hired Devan O’Dowd as Head of Distribution and Ceri Llewelyn as Director of Marketing to drive its next phase of expansion.

O’Dowd joins from Global X ETFs, where he spent nearly a decade spearheading West Coast distribution. His career started at Morningstar before moving into ETF strategy at Cedar Capital.

Llewelyn brings digital firepower, having served as SVP of Web Strategy & Innovation at Direxion ETFs and previously leading digital transformation at State Street Global Advisors. With agency-side roots, he’s adept at building digital ecosystems—something Tema will need as it scales.

Why It Matters

The ETF market is famously brutal: over 60% of ETFs launched in the last decade have failed to gain traction. Tema’s mix of thematic strategies, institutional credibility, and strong early performance suggests it’s cracked part of the code. Add in fresh leadership with distribution and digital marketing chops, and the firm is positioning itself not just to ride trends, but to shape them.

CEO Maurits Pot called the milestone “an early win,” crediting the team and pointing to Morningstar rankings as validation. For now, Tema looks less like a scrappy upstart and more like a serious contender in the $8 trillion U.S. ETF market.

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