Record-breaking inflows for high-yield ETPs
High yield exchange traded products (ETP) notched up an all-time record level of net inflows last year, according to BetaShares analysis.
The analysis revealed all of the ASX-quoted high yield products outperformed the broad domestic market on a cash and gross yield basis during 2013, with record net inflows of approximately $500 million.
BetaShares' Australian Top 20 Equity Yield Maximiser Fund received the highest yields of all ETPs available in 2013 at 8.2 per cent cash yield or 9.5 per cent when including franking credits.
Betashares managing director Alex Vynokur credited this high performance to the maturing of the exchange traded funds (ETF) sector.
He said the number of competing products was also an indication of the need for alternative income streams by investors.
"Investors are finding it increasingly difficult to rely upon traditional exposures to cash and bonds to deliver income streams. ETP flows suggest investors are seeking other asset classes in search of yield and returns" Vynokur said.
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