ETFs take lead in Australian equity income sector
Three of the top four Australian equity income funds were exchange-traded funds, contrasting the Australian equity sector where active funds dominated the top five.
According to FE Analytics, within the Australian Core Strategies universe, the Australian equity income sector returned 18.83%, year to 29 November, 2019.
The best performing funds were UBS IQ Morningstar Australia Dividend Yield E (32.88%), Ausbil Active Dividend Income Wholesale (28.75%), BetaShares Legg Mason Real Income ETF (27.08%), BlackRock iShares S&P/ASX Dividend Opportunities ETF (26.14%) and Legg Mason Martin Currie Equity Income X (23.57%).
UBS replicated the performance of the Morningstar Australia Dividend Yield Focus Index, Betashares replicated the S&P/ASX 200 and BlackRock replicated the S&P/ASX Dividend Opportunities Accumulation Index.
Top holdings for UBS were Wesfarmers (10.10%), Woolworths (7.7%), Transurban (7.2%), IOOF (5.5%) and Sydney Airport (5.2%), as at 30 November, 2019.
Top holdings for Ausbil were CBA (10.01%), CSL (8.52%), HBP (7.99%), Macquarie Group (4.66%) and NAB (3.62%), as at 31 December, 2019.
Betashares’ sector weightings were retail – property (29.3%); other – property (26.2%); utilities (18.8%); telecom, media and technology (15.1%); industrial – property (5.6%) and offices – property (5%), as at 31 December, 2019.
BlackRock’s top holdings were Wesfarmers (10.83%), Woodside Petroleum (10.29%), CBA (9.83%), Rio Tinto (9.76%) and BHP (9.48%), as at 31 December, 2019.
Legg Mason Martin Currie’s top holdings were JB Hi-Fi (4.42%), Telstra (3.88%), Australian Gas Light Company (3.79%), Wesfarmers (3.65%) and Woodside Petroleum (3.46%).
Best performing Australian equity income funds v sector over the year to 30 November 2019
AUTHOR
Chris Dastoor
Recommended for you
The Reserve Bank of Australia's latest interest rate announcement has left punters disheartened on Melbourne Cup Day.
Equity Trustees has been selected as the responsible entity for two new funds, one from Coller Capital focused on private equity and a second investing in fixed income from FIIG Securities.
Funds managers are being urged by financial advisers to improve their “outdated” education and communication about alternative funds as they actively target them towards retail clients.
GAM Investments has appointed Eric Finnell as its managing director for Australia after his predecessor left to take up the CEO role at Global X.
