In the competitive US ETF market, smaller asset managers are challenging the dominance of industry giants like BlackRock and Vanguard. As passive funds continue to gain traction, actively managed ETFs are attracting substantial investor dollars, claiming 18% of the US ETF market's net new money in 2023. This surge has propelled the growth of smaller ETF providers, with some witnessing exponential asset increases. Firms like Dimensional Fund Advisors, Capital Group, and Ark Investment Management have leveraged innovative strategies to carve their niche in the market, while others have focused on specific categories such as core bonds and income. As these fast-growing firms reshape the landscape, the industry is witnessing a surge in active ETFs, driven by innovative approaches and product offerings that cater to the changing investor preferences.