Exchange-traded funds and related products could grow to €1bn ($1.4 trillion) in size this year if equities markets continue to rise, marking a growth of over 25% in just 12 months, according to research by Deutsche Bank.

Three quarters of assets held in these products are invested in equities, making the fortunes of the industry closely tied to the equities markets. The report, issued yesterday, said there is a "strong possibility" that exchange-traded product assets in the US and Europe would cross the $1.4 trillion mark this year if equity markets rise substantially.