Update 16th August 2021 - new figures out from Chi-X mean total FUM is now at $118.7 billion
Original article
The July 2021 numbers just came out this morning from the ASX and the growth continues. Since publishing the last update, we saw Chi-X numbers also come out which meant total market FUM (funds under management) grew to $115.7 billion which means 76% year-on-year growth.
There are a number of key metrics that were quite interesting including:
Total market FUM is now at $116.5 billion
Total inflows was $2.7 billion
Overall 1-month returns was +0.9% with best categories including Global Property, Infrastructure and Commodity ETFs
ESG type ETFs saw the most number traded in July 2021 but not the highest in terms of transaction values - indicating most of this driven by retail investors.
Let's explore each of these a little bit more.
NB: All data and charts sourced with data from ASX and Chi-X.
FUM growth to over $116 billion
Total market FUM was $65.6 billion on ASX/Chi-X as at 1 July 2020 and with updated figures this grew to $115.7 billion as of June 2021, 76% year on year growth.
This is now at $116.5 billion in July 2021 and on pace to be well over $120 billion by the end of 2021.
FUM growth - January 2017 to July 2021
Global Equity ETFs cover $54.4 billion of thte total followed by $31.1 billion for Australian Equity ETFs. The next biggest include local fixed income ETFs ($9 billion)( then Commodity ETFs ($3.6 billion).
FUM by ETF Category - January 2017 to June 2021
Net Inflows grew by $2.7 billion in July 2021
Total net inflows was $2.7 billion in July 2021. The biggest area of growth was in Global Equity ETFs with $1.5 billion followed by Austalian equity ETFs at $462 million (this was negative last month).
Net Inflows from July 2020 to June 2021
Top inflows to ETFs were driven by a few interesting ones such as MGOC and HYGG which were closed ended funds that converted to ETFs
Inflows by ETF
Most amount of inflows went to VGS ($231 million) followed by VAS ($180 million) and NDQ ($128 million).
ESG also continues to get popular with ETHI seeing $116 million of net inflows for the month.
Performance
Performance in June 2021 was positive but lower than previous months with the overall market seeing +0.9% growth compared to the +2% of previous months. The cumulative trends are shown below with the metric showing the ETF categories monthly performance for June 2021. We can see most were in the green, led by Global Property at +4.5% (DJRE at 5.4% and REIT at 3.6%), Infrastructure at +2.8% (VBLD at 3.6% and MICH at 2.8%) and Commodity ETFs (PMGOLD at 5.9% and GOLD at 5.6%).
1-month price returns (latest and trend) - January 2017 to July 2021
Here are the top individual performances with top honours going to a BetaShares Resources sector ETF (QRE) at 7.4% and the SPDR Resource Fund (OZR) at 7.2%.
ETF 1-month returns - July 2021
ESG ETFs see most amount of trading
One thing that was interesting was seeing July 2021 as having the largest amount of trades across the 23 ESG related ETFs we track at 35k trades this month, the most ever. This was coupled with one of their biggest months of transacted volume and the biggest month for transacted value ($420 million). ESG ETFs whether bought by retail traders, advisers or financial institutions just keep getting more and more popular!
Number of trades for ESG related ETFs - January 2017 to July 2021
Transacted volume for ESG related ETFs - January 2017 to July 2021
Transacted value for ESG related ETFs - January 2017 to July 2021
More information is available in the app here: https://www.etftracker.com.au/the-app