The sovereign debt issues of the eurozone have caused inflows into the European ETF market to trickle in just $9.9 billion in seven months, a nearly 65 percent drop from inflows in the same year-earlier period, according to the Financial Times.

In contrast, the U.S. drew in a record-breaking $87.9 billion within the same time frame. But in Europe, the debt crisis has hurt investor sentiment and has increased risks, causing inflows into European-listed equity ETPs to drop to $3.2 billion, a decrease of more than 87 percent, according to FT.

Despite this year’s stunted growth, there is a rather positive outlook for the future thanks to regulators introducing new rules for ETFs, which could help increase confidence in European products, the article said.

However, unless confidence in the eurozone returns, prospects for the European ETF market are likely to be relatively disappointing in 2013 compared with the outlook for U.S. and Asian-listed ETFs, the report said, citing Christos Costandinides, European head of ETF research and strategy at Deutsche Bank.

To read more, visit FT.com.