ETF monthly trading values hit record high
The Australian exchange traded fund (ETF) industry reached a new record for monthly trading values, with activity hitting $2.1 billion in April, research reveals.
The BetaShares Australian ETF Review, reported the sector saw "relatively low headline growth" of approximately $100 million for the month.
However, the report said the slowdown in headline growth "belied the ‘true industry growth' with falling markets detracting from new money inflows", which were around $500 million.
The review found that in terms of product categories, inflows were highest in broad Australian equities and developed international equities, including strong inflows into European exposures, while there was "relatively significant redemption activity was recorded in emerging markets exposures".
AUTHOR
Nicholas O'Donoghue
Recommended for you
Commentators may be forecasting consolidation in private market firms but a survey of the industry itself expects new manager formation will still outpace this, especially in Asia Pacific.
Fund manager Pacific Current has appointed a former superannuation chief executive as its newest chair, succeeding Tony Robinson who departs after almost a decade to focus on his role at COG Financial.
The possibility of a private credit ETF is looking unlikely for now with US vehicles seeing limited uptake, according to commentators, but fixed income alternatives exist that can provide investors with a similar return.
Ahead of the approaching end of the financial year, State Street has shared five tips for advisers who are using ETFs in their client portfolios.
