According to latest Plan For Life research, the Australian ETF market grew 47.2 per cent over the year to June 2013 to $7726.9 billion, with the second and third largest providers the big movers.
State Street Global Advisers (SSgA) remains the largest provider by market share, increasing its ETF funds under management (FUM) from $2.58 billion to $2.96 billion. But despite this 14.6 per cent annual growth, it saw its market share slashed from 49.2 per cent to 38.3 per cent as iShares and Vanguard each more than doubled their ETF FUM.
iShares moved its market share from 22.7 per cent to 31.3 per cent as its FUM grew from $1.19 billion to $2.42 billion. Vanguard’s share grew from 8.2 per cent to 12.7 per cent on the back of 129 per cent FUM growth, up from $430 million to $985 million.
BetaShares and Russell Investments each more than doubled their ETF FUM from a low base to remain in fifth and sixth spots respectively.
“Exchange traded funds and exchange traded commodities funds under management continues to grow steadily, particularly over the year to June 2013, up 47.2 per cent to [$7.73 billion] across 80 products,” Plan for Life said in its ETF market overview.
It noted the six Market Vectors Aii ETFs were terminated during the period.
More than one quarter of the market remains tied up in a single product, SSgA’s SPDR S&P/ASX 200 ETF, which grew by 6.8 per cent to reach $2.11 billion over the year, with a market share of 27.8 per cent.
The second largest product by FUM is the iShares Core S&P500, which reached $642 million, more than double its level the previous year of $295 million.
