New money drives industry growth to record high of $29 billion FUM
Despite declines in the broader Australian market, net inflows lifted the Australian exchange traded fund (ETF) industry by 2.6% (or $733.7 million) to hit a new record high of $29 billion in funds under management (FUM), according to the BetaShares Australian ETF Review – May 2017.
Most of the month’s industry growth came from net new money ($657.8 million), rather than asset appreciation.
In line with previous months this year, Australian equities recorded the highest inflows with broad Australian exposures the most popular funds in May. Equity Income products were also popular, with the BetaShares HVST and YMAX funds receiving strong net flows.
The best performing exposures were Asian Equities, particularly Korean, followed by the Australian Equities Strong Bear Hedge Fund (ASX: BBOZ), which experienced positive performance of 7.6%, profiting from the decline of the Australian market.
BetaShares Managing Director, Alex Vynokur, said: “It’s exciting to see the industry approach the $30 billion milestone. We are confident this growth trajectory will only get stronger as investor demand and innovation drives more product launches to suit a diverse range of investor needs.”
“The continued growth of the ETF industry in May, despite the decline of the Australian share market shows its resilience and versatility for investors,” he added.
Two new products were launched on the Australian Securities Exchange in April: the VanEck Vectors Australian Corporate Bond Plus ETF (ASX: PLUS) and the UBS IQ Cash ETF (ASX: MONY), bringing the total number of exchange traded products on the ASX to 206.
“Over the next quarter, we expect to see more products based on the cash and fixed income asset classes launched, as investors seek income solutions outside of the volatile equity market,” concluded Mr Vynokur.
A copy of the BetaShares Australian ETF Review – May 2017 is attached.
Media enquiries:
Rachel Maher Honner rachel@honner.com.au +612 8248 3746 / +61 434 191 290 |
Alex Vynokur BetaShares alex.vynokur@betashares.com.au +61 2 9290 6888 |
Product Series | Product | Ticker |
Cash & Fixed Income ETFs | Australian Bank Senior Floating Rate Bond ETF | QPON |
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 |
Euro ETF | EEU | |
U.S. Dollar ETF | USD | |
BetaShares Strong U.S. Dollar Fund (hedge fund) | YANK | |
BetaShares Strong Australian Dollar Fund (hedge fund) | AUDS | |
Equities ETFs | FTSE RAFI Australia 200 ETF | QOZ |
Financials Sector ETF | QFN | |
Resources Sector ETF | QRE | |
Australian Ex-20 Portfolio Diversifier ETF | EX20 | |
Australian Small Companies Select Fund (managed fund) | SMLL | |
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 | |
Global Sustainability Leaders ETF | ETHI | |
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 |