Sixteen months of ETF market growth
September represented the 16th consecutive month of growth for the Australian exchange traded fund (ETF) market, according to the latest BetaShares Australian ETF Review.
The company said that while the pace of growth was slower in September than in previous months, the market hit a fresh record high of $8.9 billion in assets under management, as market capitalisation grew by $138 million.
The analysis said there was a strong US-theme in September, with US equities and US dollar currency exposures being amongst the most popular in terms of net inflows.
"Investors continued to seek out cash, however, with inflows into the Australian High Interest Cash ETF being the second highest category for net inflows," the analysis said.
Commenting on the outcome, BetaShares managing director Alex Vynokur said the flows suggested investor appetite had not dampened for US exposures despite concerns around the US debt ceiling, with investors adding both US equities and the US Dollar currency to their portfolios.
He said that despite the bullish sentiment towards international equities, investors continued to favour cash.
Additionally, in a more distinct sign of negative sentiment, the BEAR fund, designed to go up when the market goes down and vice versa, entered the top 10 funds by net inflows this month for the first time in 2013.
Recommended for you
The financial advice industry has enjoyed another week of strong new entrant numbers, totalling nearly 40 for the past fortnight, thanks to the latest exam passes.
Momentum Media’s wealth publishing network – comprising InvestorDaily, ifa, SMSF Adviser, Money Management, and Super Review – is proud to launch the annual Australian Wealth Management Awards.
Investment information firm Equity Story has signed a binding heads of agreement to acquire South Australian financial advisory and stockbroker Baker Young for $4.2 million.
Net cash flow on AMP’s platforms saw a substantial jump in the last quarter to $740 million, while its new digital advice offering boosted flows to superannuation and investment.
