Advised investors dump banks, take up ETFs in H1 2025

According to the latest data from wholesale trading platform, AUSIEX, advisers used the last six months to make room for an influx in exchange traded fund (ETF) holdings by shedding their clients’ holdings in certain banks.

The figures suggested ETFs had very much asserted their position alongside resources in advised investor portfolios during the first six months of 2025, with 10 appearing on AUSIEX’s list of top 20 advised investor stock purchases.

The most bought stocks by advised investors were Woodside, BHP, CSL, Macquarie and Westpac; at the other end of the spectrum lied Commonwealth Bank, Telstra, Woolworths and Fortescue.

A similar sentiment was noted in the data on advised self-managed super fund (SMSF) accounts with over $3 million in holdings, with six ETFs climbing the ranks to take over from Commonwealth Bank, Wesfarmers, Telstra, Endeavour Group and National Australia Bank.

Woodside, BHP and CSL also maintained their spots as the top three buys by advised SMSFs in the first half of 2025.

“During the past financial year individual retail investors tended to buy mining stocks, taking profits in some bank stocks,” Chris Hill, National Manager of Strategic Relationships at AUSIEX, said.

“In stark contrast, advisers relied on a handful of blue chips and a broad range of exchange traded funds to build clients’ portfolios in the first half of 2025. The latter included Australian stock indexes, US and European indices as well as fixed income ETFs.

“The volume of trading by advised investors in the second half of the past financial year was down 9 per cent compared to the second half of the 2024 calendar year, as these investors tended to hold stocks and trade less.

“By contrast, the number of their ETF trades was up over 30 per cent compared to the first six months of 2024.”

The 10 ETFs that made the list of advised investors’ top buys included:

• VanEck S&P/ASX MidCap ETF
• VanEck MSCI International Quality (Hedged) ETF
• Vanguard MSCI Index International Shares ETF
• Vanguard Australian Shared Index ETF
• VanEck Australian Equal Weight ETF
• Vanguard Australian Shares High Yield ETF
• Betashares Australian Hybrids Active ETF
• VanEck Australian Subordinated Debt ETF
• Betashares Australian Investment Grade Corp Bond ETF
• Global X Ultra Short Nasdaq 100 Complex ETF

The data also indicated that the Metrics Master Income Trust maintained its position as one of the top buys for advised investors in the first six months of 2025, despite some contention over the fund’s placement on approved product lists (APLs) occurring earlier this year and ongoing heightened scrutiny of private credit investments.