The Australian exchange traded fund (ETF) industry growth moderated at $24.1 billion in funds under management (FUM) in October, as global and Australian share markets fell, according to the BetaShares Australian ETF Review – October 2016.
The industry showed its resilience as net inflows remained strong, increasing to $629 million in October (September net inflows: $580 million).
Broad Australian equities exposures again received the highest inflows, with net inflows of $274 million, in line with the trend observed in September. International Equities and Australian Fixed Income categories also captured new money, with net inflows of $103 million and $98 million, respectively.
Outflows were limited with only minor redemptions in short exposures.
BetaShares Managing Director, Alex Vynokur, said: “It’s a testament to the strength of the Australian ETF industry to see continued, significant levels of net inflows, even in a period of local and global market declines.”
Product development surged in October, with 15 new funds launched including the BetaShares Australian Ex-20 Portfolio Diversifier ETF (ASX: EX20), four new factor products from iShares and 10 new single bond XTBs.
The best performing exposures were the BetaShares Global Banks ETF – Currency Hedged (ASX: BNKS), BetaShares WisdomTree Japan ETF – Currency Hedged (ASX: HJPN) and the Strong Bear Hedge Fund exposures over the Australian market (ASX: BBOZ) and in the US market (ASX: BBUS).
“The availability of exchange traded products that provide short exposure has proven popular for investors looking to profit from and protect against falling Australian or US sharemarkets. They provide exposures which differ from the traditional approach of “going local and long””, he concluded.
|Cash & Fixed Income ETFs||Australian High Interest Cash ETF||AAA|
|Commodity ETFs||Agriculture ETF – Currency Hedged (Synthetic)||QAG|
|Commodities Basket ETF – Currency Hedged (Synthetic)||QCB|
|Crude Oil Index ETF – Currency Hedged (Synthetic)||OOO|
|Gold Bullion ETF – Currency Hedged||QAU|
|Currency ETFs||British Pound ETF||POU|
|U.S. Dollar ETF||USD|
|Equities ETFs||FTSE RAFI Australia 200 ETF||QOZ|
|Financials Sector ETF||QFN|
|Resources Sector ETF||QRE|
|Australian Ex-20 Portfolio Diversifier ETF||EX20|
|Equity Income Funds||Australian Dividend Harvester Fund (managed fund)||HVST|
|Equity Yield Maximiser Fund (managed fund)||YMAX|
|Geared Funds||Geared Australian Equity Fund (hedge fund)||GEAR|
|Geared US Equity Fund – Currency Hedged (hedge fund)||GGUS|
|International Funds||FTSE RAFI U.S. 1000 ETF||QUS|
|Global Agriculture ETF – Currency Hedged||FOOD|
|Global Banks ETF – Currency Hedged||BNKS|
|Global Cybersecurity ETF||HACK|
|Global Energy Companies ETF – Currency Hedged||FUEL|
|Global Gold Miners ETF – Currency Hedged||MNRS|
|Global Healthcare ETF – Currency Hedged||DRUG|
|NASDAQ 100 ETF||NDQ|
|S&P 500 Yield Maximiser Fund (managed fund)||UMAX|
|WisdomTree Europe ETF – Currency Hedged||HEUR|
|WisdomTree Japan ETF – Currency Hedged||HJPN|
|Managed Risk Funds||Managed Risk Australian Share Fund (managed fund)||AUST|
|Managed Risk Global Share Fund (managed fund)||WRLD|
|Short Funds||Australian Equities Bear Hedge Fund||BEAR|
|Australian Equities Strong Bear Hedge Fund||BBOZ|
|US Equities Strong Bear Hedge Fund – Currency Hedged||BBUS|
|Active||AMP Capital Dynamic Markets Fund (Hedge Fund)||DMKT|
|AMP Capital Global Infrastructure Securities Fund (Unhedged) (Managed Fund)||GLIN|
|AMP Capital Global Property Securities Fund (Unhedged) (Managed Fund)||RENT|