The BetaShares Australian ETF review showed growth of 5.3 per cent in August, equivalent to an advance of 6.3 billion, on the back of strong inflows (40 per cent) and market appreciation (45 per cent).
“Net flows into the industry were $2.4B, the third highest monthly inflows on record,” said Ilan Isrealstam, head of strategy and marketing at BetaShares.
The record for ETF inflows was recorded in July, posting $2.7 billion.
“Industry growth over the last 12 months has been 77 per cent, which represents absolute growth of $54.4B over this period – the highest $ value increase over 12 months in the industry’s history,” said Mr Isrealstam.
“Monthly trading value remained high, increasing 11 per cent month of month, with over $9B of trading activity recorded on the ASX for the month (August).”
Furthermore, the addition of new funds to the market has proven pivotal. This includes the transformation of a Magellan unlisted Global Equities Fund ($1 billion assets under management [AUM]) into an active ETF.
Two other funds also joined the market this month, including a thematic semiconductor ETF that broke ASX records on its opening day.
Best in class for inflows was the Vanguard MSCI Index International Shares ETF, posting an inflow value of more than $255 million. It was followed by the Vanguard Australian Shares Index ETF, with inflows of more than $248 million.
“Equities continue to dominate flows as they have done throughout the year – this month equity ETF inflows represented ~ 85 per cent of total flows,” Mr Isrealstam said.
“International equities products in particular continue to drive the majority of industry growth, with over $1.4B of assets flowing into this category and another $544m flowing into Australian equities this month.”
The review follows BetaShares’ own record-breaking announcement that its AUM had surpassed $20 billion.
