ETF industry drops in value in April
The Australian exchange traded fund (ETF) industry has shrunk by $1.9 billion, some 1.4%, in April, representing the third month out of four in 2022 in which the industry has declined.
Reflecting falls in global sharemarkets, the Australian ETF industry ended April at $133.5 billion, but investors continued to allocate with net flows of $1.2 billion, on par with March inflows of $1.3 billion.
“The Easter period and overall investor caution caused trading values to plummet to levels not seen in the last 11 months, representing a fall of 35% [$7.5 billion in total],” the report noted.
Over the last 12 months, the Australian ETF industry grew by 23% for a net total of $24.7 billion.
In terms of category flows, the industry flows were very similar to those recorded in March, with international equities continuing to see the lion’s share inflows ($513 million) followed by broad Australian equities ($299 million).
“We saw some profit taking in short exposures which experienced strong positive performance as sharemarkets fell.”
Source: BetaShares
AUTHOR
Liam Cormican
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