Aussie ETF industry posts $66bn in FUM in January
The Australian exchange traded fund (ETF) industry has grown funds under management (FUM) to $66 billion, adding a further $4.2 billion during the first month of the year.
This was the largest absolute monthly growth on record and fastest percentage monthly growth (6.8%) in over four years, according to the BetaShares Australian ETF Review – January 2002.
Further to this, nearly half of the month’s growth came from net inflows ($1.9 billion), with strong market performance contributing the remaining $2.3 billion.
Both international and Aussie equities attracted the highest inflows which stood at $719 million and $512 million, respectively, while the fixed income category saw net inflows of $396 million which was described as a ‘still-healthy’ result by the review.
At the same time, trading levels saw more than $5 billion of ETFs which traded on the Australian securities Exchange (ASX) and translated into a 14% growth counting year-on-year.
“While we do not expect last year’s 50% plus growth to be repeated in 2002, January’s performance reflects the strength of the Australian ETF industry,” BetaShares’ chief executive, Alex Vynokur, said.
“With investors, advisers and institutions increasingly recognising the benefits of ETFs, and a broader range of funds than ever on offer, we think the industry is in excellent shape for another outstanding year.”
AUTHOR
Oksana Patron
Recommended for you
The “experiment” away from vertical integration has been a mistake, according to Clime’s Michael Baragwanath, and Clime is positioning to benefit via advice and fund manager acquisitions.
JP Morgan Asset Management has identified Australia as an “emerging growth market” as it seeks to double its assets under management in the Asia-Pacific region in the next five years.
Australian Ethical funds under management were $14.3 billion at the end of September, with its investment division seeing inflows return after outflows in the previous quarter.
Record flows into iShares ETFs helped BlackRock’s assets under management reach US$13.5 trillion in the third quarter, but it reported outflows from the APAC region.
