Betashares captures most net flows in managed funds industry

Betashares has commandeered the top spot for net flows among all investment managers in the managed funds industry.

The local fund manager, which yesterday received a $300 million injection from Singaporean conglomerate Temasek, amassed $5.3 billion in net flows over the 12 months to 31 March 2024.

According to Rainmaker Information, its net flows constituted 25% of its total funds under management (FUM) during the same period.

BlackRock was the runner-up with $4.5 billion in net flows over the year, indicative of a 12% increase in its FUM.

VanEck claimed third place, reeling in net flows of $2.8 billion, marking a 29% increase in FUM.

Completing the top 10 were Macquarie Asset Management, MA Financial, Talaria Asset Management, Yarra Capital, Western Asset Management, and super fund investor ISPT.

Magellan experienced the most dramatic outflows, bleeding $3.9 billion from its managed funds, resulting in a 24% net loss of FUM.

State Street Global Advisors followed, with a $3.3 billion net outflow, reflective of a 29% loss in FUM.

Last week, Financial Standard reported that State Street's Australian Equities Index Trust and International Equities Index Trust bore the brunt of the capital exodus over the year.

Of the 154 managers in the Rainmaker managed funds database, 63 enjoyed net inflows while 91 grappled with net outflows.

Among the investment managers with net inflows, the median intake was $103 million.

Conversely, for those with net outflows, the median depletion was $113 million.

Regarding individual managed fund products, the iShares Global Bond Index Fund bested its peers with $1.6 billion in net flows, followed by the Betashares Australia 200 ETF and the Vanguard Australian Shares Index ETF, raking in approximately $1.3 billion, respectively.

The remaining top 10 products for net inflows were the Macquarie True Index Australian Shares Fund, MCP Wholesale Investments Trust, iShares Core S&P/ASX 200 ETF, Macquarie Enhanced AFI Fund, VanEck MSCI International Quality ETF, Metrics Direct Income Fund, and Betashares Global Shares ETF.

Notably, of the top 10 products, half were fixed interest products, four were low-cost indexed market cap weighted equity products, and one was an international equities product.

The Vanguard International Shares Index Fund recorded the highest negative net flows, haemorrhaging $2.8 billion over the past year. This outflow was persistent throughout the year, punctuated by only two months of positive net flows. It continues to lose around 1% of FUM a month from flows.

Of the 1105 products analysed, 453 (41%) registered positive net flows, while 652 (59%) experienced negative net flows over the period. Products with positive net flows averaged an intake of $108 million, whereas those with negative net flows saw an average depletion of $89 million.