ETFS reaches $3b FUM
As the exchange traded fund (ETF) industry reaches an all-time high of $67.2 billion in funds under management (FUM), ETF Securities (ETFS) has itself passed $3 billion FUM.
The firm had doubled its FUM in two and years and Kris Walesby, ETFS chief executive, said it was not a surprise given broader market activity.
“ETF trading for the entire Australian market has more than doubled over the course of the COVID-19 pandemic as investors sought fast and broad exposure to diverse market opportunities,” Walesby said.
“Investors increasingly understand and see ETFs as a core investment tool for their portfolios, with the overall growth of the Australian ETF market and range of products available testament to this.
“We continue to see strong inflows coming from the professional investment community and the self-advised investors via SMSFs and online trading accounts.”
According to FE Analytics, the fund’s best-performers over the last year were Battery Tech & Lithium, S&P Biotech, Morningstar Global Technology, ROBO Global Robotics and Automation, and Physical Gold, as of 21 August, 2020.
“There is an increased awareness about the impact of gold in portfolios as it is viewed as a hedge against an equity market sell off and lauded for its lack of correlation to mainstream asset classes,” Walesby said.
It had also recently launched its FANG ETF, as well as short and leveraged NASDAQ trading products.
Best-peforming ETFS funds over the previous 12 months to 21 August 2020
AUTHOR
Chris Dastoor
Recommended for you
Lonsec and SQM Research have highlighted manager selection as a crucial risk for financial advisers when it comes to private market investments, particularly due to the clear performance dispersion.
Macquarie Asset Management has indicated its desire to commit the fast-growing wealth business in Australia by divesting part of its public investment business to Japanese investment bank Nomura.
Australia’s “sophisticated” financial services industry is a magnet for offshore fund managers, according to a global firm.
The latest Morningstar asset manager survey believes ETF providers are likely to retain the market share they have gained from active managers.
