Continued industry growth and inflows into Australian Equities ETFs
The Australian ETF industry recorded another strong month of growth, with total industry FuM at the end of May hitting a new high as the industry nears the $30B mark. Total industry FUM at month end was $29.0B, with growth of 2.6% or $730M for the month. In a month where the Australian market tumbled, almost all the growth came from net new money, rather than asset appreciation.
- ASX Exchange Traded Funds Market Cap: $29.0B – New record high
- Market cap growth for month: +2.6%, + $733.7m
- Market cap growth for last twelve months: 25.1%, +$5.8B
Comment: We’re excited to be getting close another ’round number’ milestone of $30B. Growth trajectory for the industry continues to be robust.
- New unit growth for month (units outstanding by number): 3.0%
- Net new money (units outstanding by $ value): +$657.8m
- 206 Exchange Traded Products trading on the ASX
- 2 new products launched this month -VanEck Vectors Australian Corporate Bond Plus ETF (ASX: PLUS) and UBS IQ Cash ETF (ASX: MONY)
Comment: Over the next quarter, we expect to see more products based on the cash & fixed income. BetaShares recently launched our first bond fund, for example, our Australian Bank Senior Floating Rate Bond ETF (ASX: QPON).
- Average trading value up 44% to be the second largest trading month on record (first largest set in February 2017)
- Asian Equities and BetaShares Australian Equities Strong Bear Hedge Fund (ASX: BBOZ) the best performers this month
Top 5 category inflows (by $) – May 2017
|Australian Equities||$ 329,024,194|
|International Equities||$ 202,022,526|
|Fixed Income||$ 69,184,475|
|Australian Listed Property||$ 22,900,867|
Top category outflows (by $) – May 2017
Top sub- category inflows (by $) – May 2017
|Australian Equities – Broad||$ 248,128,970|
|Australian Equities – High Yield||$ 80,771,568|
|International Equities – Developed World||$ 76,299,954|
|Australian Bonds||$ 53,279,231|
|International Equities – Sector||$ 36,515,110|
Top sub- category outflows (by $) – May 2017
|Australian Equities – Large Cap||($ 10,633,455)|
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