The mutual fund industry will be a shadow of its former self in just five years time, if the findings of a new study by Novarica pan out.

The 2009 Wealth Management Overview: Top Trends in Client Segmentation, Products, and Delivery Channels report predicts that exchange-traded funds (ETFs) will replace as much as half of all mutual funds by 2015, dropping from 8,022 at the end of 2008 to 4,237 in only five years. Mutual fund assets will drop correspondingly from $9 trillion to $6.75 trillion over the same period.

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