WEEKLY WRAP: Australian exchange traded fund market breaks $9b

by |

The Australian exchange traded fund market has broken through $9 billion in assets under management, reaching a fresh record high of $9.3 billion, according to BetaShares’ October ETF Review. The industry’s market cap grew 5.3% during October, which included $256 million of net new money flowing into the market.

Former REST Superannuation chief executive Neil Cochrane is to become chairman of the First State Super Trustee Corporation (FTC) board, after the departure of Thomas Parry on 1 March. Parry has been with FTC for 14 years.

Three new global exchange traded funds (ETFs) are available through the Australian Securities Exchange (ASX), State Street Global Advisors announced. The ETFs are the SPDR® Dow Jones Global Real Estate Fund, SPDR S&P® Global Dividend Fund, and SPDR S&P Emerging Markets Fund.

Local Government Super (LGS) has appointed Link Super as the Fund’s administration provider. The appointment was confirmed by the LGS Board at a meeting in Sydney last week, and the four-and-a-half year Administration Agreement will start 1 July.

Goldman Sachs Asset Management have launched its Global Strategic Bond Fund, an Australian dollar based strategy which seeks to provide investors income and total return opportunities through exposure to a broadly diversified portfolio of fixed income securities.

The Zurich Investments Small Companies Fund is now on three more platforms, as it has been included on the Approved Product Lists for licensees HillRoss and AMP and on the Macquarie Wrap and Portfolio Care platforms. 

AMP Limited has launched new, subordinated and unsecured debt securities called AMP Subordinated Notes 2. It hopes to raise $200 million for term subordinated debt, a substantial part of which it expects to use to fund Tier 2 Capital of one or more regulated entities within the AMP group.

BT Investments has added the SGH ICE fund to its BT Wrap platform. The fund, launched in 2006, has $110 million in funds under management and is distributed by Equity Trustees.

Former head of credit at ANZ bank Peter McMahon has been appointed to the Board of Directors of personal asset lender Assetline.

Tyndall Investment Management Limited and UK-based Ignis Asset Management have announced a strategic alliance in Australia. Under the terms of the agreement, Ignis will sub-advise new absolute return debt product and liability management strategies exclusively with Tyndall into the institutional market in Australia.

Sydney-based specialist equity fund manager PM CAPITAL is launching a listed investment fund called the PM Capital Global Opportunities Fund Limited. CEO Chris Donohoe said investor demand prompted the move.

Colonial First State’s FirstChoice Multi-Index funds have been awarded a ‘Recommended’ rating from Zenith Investment Partners.