Money Management, using FE Analytics, has looked at the funds launched in the last three years and their performance to determine where investors are looking and whether it’s paid off in returns.
Of the 360 funds added to the Australian Core Strategies Universe in the last three years, 68 of them have launched in the global equities sector, which suggests almost 20 per cent of investors are looking outside of Australia for opportunities in the equities market.
Twenty funds launched in the global bonds sector and just three funds launched in the global small/mid cap sectors.
This compares to the 22 funds that have launched in the Australian equities sector, the 20 funds that have launched in the Australian small/mid cap sector and the nine funds that launched in the Australian bonds sector.
Only 12 new funds launched in Asian equities, both the Asia Pacific ex Japan sector and the Asia Pacific Single Country sector, one in North American equities and three in European equities.
Six funds launched in the emerging markets sector, echoing talks of trade tensions, dominated primarily by Colonial First State who launched three new funds, two of which launched this year.
The alternatives sector proved popular, with 34 funds launching in the last three years, eight in the specialist sector and five in infrastructure equities.
Fixed interest was a popular asset class as well, with 44 new funds launching,...