Betashares Australian ETF Review: October 2023

October 2023 Review: Second month of industry declines, as robust inflows not enough to offset sharemarket fall

The second highest net flows of the calendar year were not enough to combat a decline in asset values, as global sharemarket falls caused the industry to decline in October, in a very similar pattern to that experienced in the prior month.


Exchanged Traded Funds Market Cap
• Australian Exchange Traded Funds Market Cap (ASX + CBOE): $150.1B
• ASX CHESS Market Cap: $136.0B1
• Market Cap increase for month: -1.9%, -$2.8B
• Market cap growth for last 12 months: 14.0%, $18.4B

New Money
• Net inflows for month: $1.8B – 2nd highest net flows for 2023 to date

• 349 Exchange Traded Products trading on the ASX & CBOE
• Only 1 new fund launched this month, as we launched a currency-hedged version of the FTSE 100 ETF, with the ASX code: H100.
• 2 closures this month, with Perpetual closing down their unlisted Global Innovation Fund which meant that the listed class (IDEA) similarly closed. In addition 1

Trading Value
• Trading value rose by ~10% in October, with ASX trading value of ~$10B for the month

• Cryptocurrency exposures were the best performers in October, followed by geared short Australian equities funds which rallied 10% for the month as the Australian sharemarket fell. With rising geopolitical tension we also saw gold exposures rise strong during the month.


Source: ASX, CBOE

Top category inflows (by $) – October 2023

Broad Category Inflow Value
Australian Equities $881,882,798
Fixed Income $547,890,511
International Equities $288,924,951
Cash $70,663,720
Listed Property $58,325,102


Comment: This month it was very much broad Australian equities exposures that led investor interest, with ~50% of the month’s flows ($882m) coming from this asset class. Fixed Income remained popular, and was the 2nd most popular exposure taking in ~$550m in new money.


Top sub-category inflows (by $) – October 2023


Sub-category Inflow Value
Australian Equities – Broad $689,380,787
Australian Bonds $392,389,847
Global Bonds $166,403,667
International Equities – Developed World $159,379,613
International Equities – US $96,849,302



Source: ASX, CBOE

Top category outflows (by $) – October 2023

Broad Category Inflow Value
Short ($131,999,193)
Currency ($4,446,102)


Comment: Outflows were low at a category level, with investors taking profits and selling out of short US and Australian equities products, which combined saw $132m of outflows.


Top sub-category outflows (by $) – October 2023

Sub-Category Inflow Value
US Equities – Short ($88,727,867)
Australian Equities – Short ($43,271,326)
International Equities – Sector ($38,294,215)
International Equities – Asia ($11,513,832)
Fixed Income – E&R – ESG Lite ($7,768,722)

*Past performance is not an indicator of future performance.

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

This article mentions the following funds

Currency hedged exposure to 100 blue-chip companies on the London Stock Exchange

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Written by

Ilan Israelstam

Chief Commercial Officer

Investor & founder with a Financial Services & Fintech focus. Co-founder of Betashares. Passionate about entrepreneurship and startups.

Read more from Ilan.


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