ETF Monitors


The latest flows and performance insights into the top and bottom performing Australian ETFs.

Global equities rallied last week across most major markets. The S&P 500 added 2.4% on strong corporate earnings and economic data. Energy stocks were the top performing sector for the week, responding to higher oil prices in the wake of the U.S. withdrawal from the Iran nuclear agreement. Technology stocks also performed strongly, with HACK and NDQ both amongst the top performing funds on a price return basis. The EURO STOXX 50 gained 0.4% as Italy neared an agreement for a coalition government. Elsewhere the Nikkei 225 gained 1.3% while the MSCI Emerging Markets Index added 2.5%. Domestically the S&P/ASX 200 gained 0.9% on strong performance across the resources and energy sectors. The U.S. dollar gained against the euro and yen last week. The Australian dollar ended the week slightly higher at US75.4c. Crude oil continued to rally, reaching it highest levels since late 2014. BetaShares Crude Oil Index ETF (OOO) was amongst the top performing funds for the week. Precious metals also advanced, with gold adding 0.4% to US$1,319/oz and silver adding 0.8%. The Australian ETF market saw inflows of $103m into and outflows of $72m from domestically domiciled funds last week. The largest inflows were into BetaShares Australia 200 ETF (A200) as well as cash and fixed income ETFs (IAF, PLUS and AAA), while the bulk of outflows were from BetaShares S&P/ASX 200 Resources Sector ETF (QRE). ...
The S&P/ASX 200 gained 1.8% last week, its best weekly performance in over a year. Every sector registered a positive return for the week, with Financials, Materials and Real Estate sectors being the largest contributors. Small cap stocks also performed strongly, with three domestic small cap ETFs (MVS, ISO and SSO) all returning close to 3% for the week. Offshore, the S&P 500 declined modestly, despite a technology-driven recovery towards the end of the week. ETFS Morningstar Global Technology ETF (TECH) was the top performing international fund for the week. The recent U.S. dollar rally continued last week as the Fed expressed confidence in the U.S. inflation outlook. The DXY Dollar Index gained 1.1% and reached new 2018 highs. The Australian dollar dropped below US75c before recovering in late trading on Friday. The euro declined by 1.4% against the U.S. dollar following disappointing eurozone inflation numbers. WTI crude oil continued to rally, adding 2.4% for the week. Precious metals mostly retreated, with gold declining 0.7% to US$1,315/oz. The broad Bloomberg Commodity Index gained 0.7%. The Australian ETF market saw inflows of $283m into and outflows of $60m from domestically domiciled funds last week. Broad-based domestic equity funds saw $82m of inflows across VAS, STW, MVW and EX20, while investors switched from Vanguard MSCI Index International Shares Hedged ETF (VGAD) to its unhedged counterpart (VGS). ...