In the latest review from Betashares the highest monthly net flows on record for July pushed the Australian ETF Industry to a new all-time high in assets under management.
July saw the ETF industry continue the strong momentum from the first half of 2024, as record net flows and strong market performance lifted the industry to a new all-time high. The industry rose by 5% for the month, with total market cap increasing by $10.3B. Total industry assets now stand at $215.6B – a new all-time record high.
Industry flows were a record $3.5B for the month – continuing the long-running trend of investors using the new financial year as an opportunity to add to their portfolios. It was the first time that monthly flows have exceed $3B, with the previous record of $2.9B being set in September 2021. Net flows represented ~33% of the monthly growth, with the remainder coming from market appreciation and conversion activity.
While these numbers reflect the ETF industry prior to the August market dip, early indications suggest that ETF investors are taking advantage of the current high levels of volatility with nearly $1B in net flows already recorded for August.
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ASX trading value was ~$14B for the month – the second highest value on record for monthly ETF trading volumes.
Over the last 12 months the Australian ETF industry has grown by 43.7%, or $65.6B.
In terms of product launches, there were 6 new funds launched in July, including a new currency hedged Equal Weight S&P 500 exposure and a new Australian Equities Momentum ETF. Magellan also converted their closed ended MGF fund into units in MGOC, further adding to the industry FuM figure.
Fixed income was in third spot with $746 million, behind International Equities products ($1.6B) and second-placed Australian Equities products ($891 million).
Outflows were limited to very small amounts in Cash and Listed Property funds.
