This year’s top 10 stories included a peek into AustralianSuper’s international equities build out in London, AMP’s move to slash employee benefits, and plenty of hard-hitting analysis of the issues that matter in institutional investment. But the real story is how readers helped shape all of that coverage.
Orbis’ Stuart Place is riding from Melbourne to the Moon and Back to fund a treatment for the “monster of a disease” that his youngest son was born with. The investment industry is rallying behind him.
Trends in ETFs: model portfolios and more growth
(Pictured: Amanda Skelly)
State Street Global Advisors, the biggest provider of exchange-traded funds (ETFs) in Australia, is predicting another year of strong growth in the sector following last year’s 50 per cent increase, which took total ETF fund assets to $10 billion.
Amanda Skelly, head of ETFs for SSgA in Australia, told clients last week that growth was likely to remain above the 10-year compound rate of 28 per cent, and ending this year at more than $13 billion in total assets for the sector. She noted that last year’s growth was largely driven by cash flows of $2.5 billion.
“Trends in investor usage, product innovation and education… will be the key growth drivers this year,” Skelly said. “Importantly, this will be supported by continued advancements in administration platforms – including online brokers, traditional investment platforms and managed account providers.”
Internationally, new ETF products which have done well in the past year are bond and actively managed funds. Active ETFs are not yet approved for ASX listing. Skelly sees Australian new developments this year as likely to be in the areas of advanced beta and international markets.
“One development we anticipate will continue during 2014 
is the expansion of ETF model portfolios,” she said. “These portfolios not only provide investors with the simplest way to access the best asset allocation ideas of some of the world’s leading investors, but can also serve to provide valuable insights for self-directed investors.”
