Aussie ETF industry declines in September

The second highest net flows of the calendar year were not enough to offset a decline asset values in September across the Australian exchange traded funds (ETFs) industry, according to BetaShares Australian ETF Review.

The fall, triggered by a decline in global sharemarket, saw the ETF industry down by 2% month-on-month, for a total monthly market cap decrease of $3.1 billion while industry funds under management (FUM) end the month at $152.9 billion.

After the very high levels of trading last month, trading value dropped back by ~20% in September, with ASX ETF trading value of $9 billion for the month.

According to Betashares’ data, over the last 12 months the industry has grown by 22.9%, or $28.5 billion,

At the same time, the inflows for the industry stood at $1.7 billion and recorded their second highest level of net flows in 2023 to date, with international equities, followed by Aussie equities and fixed income, being the top categories which attracted the highest share of total inflows.

September also saw the launch of new nine ETFs, including Betashares two US Treasury Bond ETFs, the ASX further five ETF launches in the Government Bond & thematic space by VanEck, Global X and iShares and two new funds were launched on CBOE – Active ETFs from Coolabah Capital (Active short term bonds) and JPMorgan (Active Emerging Markets equity).