Top funds manager, Vanguard, is Australia’s best-selling Exchange-Traded Fund (ETF) provider for 2024.
The Financial Times (FT) reported that Vanguard ETF’s total inflows were $6.2 billion (A$10 billion), outperforming closest rivals, US-based BlackRock and Sydney-based Betashares. FT noted that the Betashares Australian ETF review stated that the nation’s ETF sector recorded huge growth last year.
New money rose to A$30.8 billion, a 100% increase from the previous year’s A$15 billion. The report noted that flows into Vanguard between January and December 2024 were A$9.5 billion, or 31% of total inflows into Australia-based ETFs.
Vanguard ETF’s 2024 Performance
Vanguard ETF’s 2024 inflows represent a 112% increase from the $4.5 billion inflows it generated in 2023. By comparison, Betashares’ inflows for 2024 were A$8.26 billion, a 32% rise from 2023, when it generated A$5.63 billion in new money.
BlackRock’s iShares rounded up Australia‘s top three ETF providers, recording inflows of A$6.6 billion in 2024. It edged VanEck, which generated A$6.1 billion, into fourth position. VanEck and BlackRock’s net inflows for 2023 were A$2.95 billion and $2.9 billion, respectively.
Betashares stated that the top three issuers continue to dominate the Australian ETF industry. Last year, they accounted for almost 80% (A$24.4 billion) of all new money in the sector.
Mirae Asset’s Global X surpassed Melbourne-based Talaria asset management firm to rank among the top five ETF providers for 2024, with A$1.2 billion in inflows. The report also noted that the Vanguard Australian Shares (VAS) index, owned by Vanguard, contributed the largest inflow into this ETF last year.
Australia ETFs’ Best Year
VAS generated $2.3 billion in net flows last year and ended with A$17.9 billion worth of assets. 2024 was the best-performing year for Australia-based ETFs, which now manage A$246.3 billion in assets across 403 investment products listed on Cboe Australia and the Australian Securities Exchange (ASX).
Their performance represents a 38.8% rise from the previous year or an addition of A$68.9 billion, indicating that the industry is booming. Current data from the ASX shows that the Vanguard ETF holds over A$67 billion in assets across 29 exchange-traded products.
Disclaimer
This article is provided for information only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.
