ASX mFund service passes 200-fund milestone
The ASX mFund Settlement Service, which allows investors to apply for and redeem unlisted managed funds in a process similar to buying or selling shares, now has 200 funds available to investors and financial advisers and continues to grow, the Australian Securities Exchange said.
The ASX said the increase in the number of funds available through mFund followed a number of growth initiatives in 2017 and 2018, including regulatory clearance to expand the service beyond simple managed investment schemes, the addition of distribution partners, and investor education.
Dominic Stevens, ASX managing director and CEO, said the mFund service put unlisted managed funds within easy reach of investors, allowing them to diversify their portfolios into new asset classes.
“ASX is pleased with the progress of the mFund service, particularly its popularity within the SMSF (self-managed super fund) sector, and is committed to its continued enhancement,” he said.
Around 75 per cent of mFund’s usage comes from financial advisers, the ASX said, who saw it as an efficient way to build a diversified portfolio for their clients, who are predominantly SMSF trustees.
ASX launched mFund in May 2014 and there are now 66 fund managers connected to the service, offering 203 funds via 17 brokers.
Recommended for you
Clime Investment Management has welcomed an independent director to its board, which follows a series of recent appointments at the company.
Ethical investment manager Australian Ethical has cited the ongoing challenging market environment for its modest decrease in assets over the latest quarter.
Commentators have said Australian fund managers are less knowledgeable compared with overseas peers when it comes to expanding their range with ETFs and underestimating the competition from passive strategies.
VanEck is to list two ETFs on the ASX next week, one investing in residential mortgage-backed securities and the other in Indian companies.
