Advised investors, SMSFs lead private credit charge: AUSIEX

The latest trading data from wholesale platform, AUSIEX, has confirmed a strong gravitation towards private credit by advised investors and self-managed super funds (SMSFs) in March, despite recent increased industry scrutiny on the sector.

Notwithstanding the several recent announcements that has confirmed both industry players and corporate watchdogs are actively monitoring the sector, AUSIEX said the increased buying activity of advised investors and SMSFs in the Metrics Master Income Trust – which was recently the subject of reports related to being knocked off Count Limited’s approved product list (APL) – showed the “growing popularity” of private credit.

Industrials and exchange traded funds (ETFs) remained front and centre for investors and SMSFs that engage in financial advice, which is to be compared to the return of mining stocks and the declining presence of banks within the repertoires of direct investors.

The top 10 most purchased listed investments for non-advised investors included:

• Fortescue
• BHP
• Woodside
• Appen
• Mineral Resources
• Pilbara Minerals
• Vanguard Australian Shares Index ETF
• Westpac
• ZIP Co
• Commonwealth Bank

The data also revealed that advised investors had reduced their exposure to some of the same or similar mining and banking stocks being actively purchased by direct investors, including Commonwealth Bank, Telstra, Westpac, APA, Fortescue, Woodside, Suncorp, ASX and Endeavour Group.

The top 10 most purchased listed investments for advised investors included:

• Goodman Group
• National Australia Bank
• Woodside
• BHP
• Betashares Geared US Equity Fund
• Woolworths
• James Hardie
• CSL
• Metrics Master Income Trust
• Vanguard MSCI Index International Shares ETF

The data indicated that direct SMSFs practiced more “diversified” buying activity across mining, industrials and banks compared to direct individual investors.

The top 10 most purchased listed investments for non-advised SMSFs included:

• Fortescue
• Woodside
• BHP
• Wisetech Global
• CSL
• National Australia Bank
• Westpac Banking
• Commonwealth Bank
• Macquarie Group
• Woolworths

Similarly, advised SMSFs were much less concentrated in industrials and ETFs than advised individual investors, offsetting their exposure with some trades in mining and banks.

The top 10 most purchased listed investments for advised SMSFs included:

• Goodman Group
• National Australia Bank
• Metrics Master Income Trust
• BHP
• Woodside
• James Hardie
• iShares Core S&P/ASX200 ETF
• Vanguard MSCI International Shares ETF
• Woolworths
• BWP Trust