Australian ETF industry marks solid start to 2019
The Australian exchange traded fund (ETF) industry has recorded a strong start to 2019, helped by the market's rally after the turmoil at the end of the last year, according to BetaShares’ Review January 2019.
The first month of the year saw its second largest monthly assets increase on record, with monthly growth of 4.3 per cent or $1.7 billion and hitting its all-time high of 442.5 billion in funds under management (FUM).
According to Betashares’ study, price increases accounted for 60 per cent of the growth while the remaining 40 per cent came from net industry inflows ($700 million).
Similarly to the prior months, the international equities category attracted the highest amount of net inflows ($242 million) and was followed by fixed income with net inflows of $188 million, of which Australian Bond exposures accounted for $162 million.
BetaShares’ managing director, Alex Vynokur, said: “Yet despite these rallies, we are still noticing that investors remain concerned about equity markets and are continuing to allocate towards more defensive exchange traded products to ensure their portfolios are well-diversified.”
AUTHOR
Oksana Patron
Recommended for you
First Sentier Investors chief executive, Mark Steinberg, is set to depart the asset manager after seven years.
Metrics Credit Partners has completed the acquisition of Taurus Finance Group and BC Investment Group as it looks to launch consumer lending arm Navalo.
AMP has announced to the ASX that it is being sued by property fund manager Dexus regarding the sale of its real estate and domestic infrastructure equity business.
Having seen inflows of US$5.6 billion to its fixed income funds in the last quarter, Janus Henderson has closed on a deal with life insurer Guardian to secure funds to boost its product development.
