Funds under management in the Australian exchange-traded funds market hit a “fresh record high” of $30.9 billion in the month ending 31 August, according to a monthly review by BetaShares.
The month of August saw a 2.2 per cent growth ($842.2 million) in funds under management (FUM) in the ETF industry, bringing the total FUM to $30.9 billion by month’s end.
Net new money was the largest driver of growth, contributing 75 per cent ($644.1 million), though asset appreciation also boosted growth.
Earmarked by BetaShares as a surprising receiver of high inflows was global equities at $346.8 million, “despite the rest of the year having seen strong inflows into Australian equities”, a BetaShares spokesperson said.
Commenting on the growth, BetaShares managing director Alex Vynokur said, “Pushing past the $30 billion assets under management milestone is a good landmark for the industry – it’s great to see that investors are seeing the value that ETFs deliver.”
The top five performing funds for the month were gold mining ETFs and resources ETFs, according to the review.
“The bounce back of gold and the performance of resources in the ETF market, despite investor caution on Australian equities more broadly, reflects the Australian ETF industry’s ability to remain versatile,” Mr Vynokur said.
The number of exchange traded products on the ASX remained at 212 with no new products launching or closing.
Wealth management relationships are under threat as clients look to switch providers driven by the impact of the royal commission. ...
S&P Dow Jones has announced a new addition to its global ESG index using enhanced ESG scores and granular data. ...
Investor confidence is on the rebound and the ASX hit a 12-year high on Monday. But it’s not all good news for the Australian economy. ...