Betashares Australian ETF Review: September 2024

Strong monthly inflows puts record year in sight

  • Another strong month of net flows, combined with positive market movements pushed the Australian ETF Industry to a new all-time high in assets under management.
  • With year to date industry netflows to September sitting at $20.5B, it appears likely that the previous annual record of $23.2B, set in 2021, will likely be eclipsed in The Australian experience mirrors the overseas trend, with 2024 looking likely to be a record year for the global ETF industry more broadly.
  • September saw the ETF industry continue its strong momentum, with high net flows pushing the industry to a new all-time high. The industry rose by 3% for the month, with total market cap increasing by $6.7B. Total industry assets now stand at $226.9B – a new all-time record high.
  • Industry flows were strong with $2.8B recorded for the month.
  • ASX trading value fell month on month but remained robust at ~$11.5B for September.
  • Over the last 12 months the Australian ETF industry has grown by 45.4%, or $70.8B.
  • In terms of product launches, there were 5 new funds launched in September. Separately, Global X closed their carbon credits ETF and P. Morgan closed an active ETF over sustainable infrastructure equities.
  • The best performing ETFs this month were Chinese equity exposures.
  • September was another stand out month for International Equities products ($1.6B), as they received more than triple the amount of net flows of the second placed Fixed Income products ($496 million). Australian Equities was in third spot with $331 million.
  • No categories received outflows this month.

Australian ETF Industry AuM: July 2001 – September 2024

CAGR: Compound Annual Growth Rate. Source: ASX, CBOE

Market Cap

  • Australian Exchange Traded Funds Market Cap (ASX + CBOE): $226.9B – all time high
  • ASX CHESS Market Cap: $191.78B1
  • Market Cap change for September: 3.1%, $6.7B
  • Market cap growth for last 12 months: 45.4%, $70.8B

New Money

  • Net inflows for month: $2.8B

Products

  • 396 Exchange Traded Products trading on the ASX & CBOE
  • In terms of product launches, there were 5 new funds launched in September. Separately, Global X closed their carbon credits ETF and J.P. Morgan closed an active ETF over sustainable infrastructure equities.

Trading Value

  • ASX trading value was lower at ~$11.5B for the month.

Performance

  • The best performing ETFs this month were Chinese equity exposures.

Industry Net Flows

Top Category Inflows (by $) – Month

Broad Category Inflow Value
International Equities $1,589,841,951
Fixed Income $495,568,869
Australian Equities $331,383,215
Commodities $174,419,015
Multi-Asset $70,771,899

Top Category Outflows (by $) – Month

No category outflows

Top Sub-Category Inflows (by $) – Month

Sub-Category Inflow Value
International Equities – Developed World $906,900,130
International Equities – US $380,990,451
Australian Bonds $332,495,135
Australian Equities – Broad $253,700,328
Gold $163,018,583

Top Sub-Category Outflows (by $) – Month

Sub-Category Inflow Value
Australian Equities – Large Cap ($66,228,585)
International Equities – Geared ($3,727,106)
Commodities – E&R – Sustainability ($986,077)
International Equities – E&R – Impact ($922,914)
Australian Equities – Small Cap ($271,721)

Performance

Top Performing Products – Month

Ticker Product Name Performance (%)
CNEW VanEck China New Economy ETF 21.4%
IZZ iShares FTSE China Large-Cap ETF 20.1%
CETF VanEck ChinaAMC A-Share ETF 18.4%
PAXX Platinum Asia Fund (Quoted Managed Hedge Fund) 12.6%
GMTL  Global X Green Metal Miners ETF 12.5%

1 Since February 2023, the ASX started reporting additional data on a CHESS-only basis. The primary use of such data is that it will exclude, amongst other things, the FuM and Flows in ‘dual class’ Active ETFs and potentially provide a more accurate picture of exchange traded activity.

Photo of Ilan Israelstam

Written By

Ilan Israelstam
Group Head - Betashares Direct
Helping to drive the growth of Betashares Direct - making investing simpler and more accessible for Australians. Brings a background in Financial Services and Fintech, with a passion for innovation and entrepreneurship. Read more from Ilan.
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