Wraps perform in mixed markets
Despite some mixed fortunes, the Australian Masterfund market has grown by 3.3 per cent, with all the major companies except IOOF and Perpetual recording some growth in the 12 months to the end of March.
The latest Plan for Life data has revealed the total Masterfund market gained $13.9 billion or 3.3 per cent in the 12-month period, with inflows of $104.3 billion being significantly up on those for the previous 12-month period.
However, it said outflows had also risen to $94.3 billion.
The Plan For Life data confirmed the dominance of platforms in the Mastertrust space, accounting for 50.1 per cent of the total market with $217.5 billion in funds under management.
It showed that inflows into platforms ($41.3 billion) made up 39.6 per cent of all inflows, although significant outflows of $40.7 billion had also occurred.
It said four groups held over $20 billion in platform funds under management led by National Australia Bank/MLC ($49.4 billion) and Commonwealth Bank/Colonial First State ($48.9 billion).
The Plan for Life data said that wraps comprised 35 per cent of the total market accounting for $151.7 billion in funds under management.
It said inflows of $50.3 billion comprised 48.2 per cent of the total, while comparatively lower outflows of $44 billion gave wraps 63.1 per cent of net fund flows.
The Plan for Life data analysis said BT Financial, National Australia Bank/MLC and Macquarie were the leading players in the market, with BT Financial holding 21.4 per cent of funds under management.
AUTHOR
Mike Taylor
Recommended for you
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.
The use of active ETFs in model portfolios by financial advisers is a key factor in the growth of the products for iShares, according to BlackRock.
Global asset manager BlackRock has identified bringing private markets to the wealth channel as a key business area for the firm that could generate US$500 million in revenue in the future.
