Secret client makes largest ETF trade in history
An investor has ripped almost $1bn out of an iShares exchange-traded fund in what is thought to be the single largest trade in Australian ETF history.
An investor has ripped almost $1bn out of an iShares exchange-traded fund in what is thought to be the single largest trade in Australian ETF history.
The client – a super fund – pulled $830m from the iShares Core S&P/ASX 200 ETF on August 19. It is understood the client held the ETF for several years before selling, with some suggestion the withdrawal proved the fund’s positive performance.
The iShares ETF was steady at $28.76 on August 19, but on Wednesday could not escape the ASX bloodbath, down 2.6 per cent to $27.98.
Rival fund manager BetaShares said the trade – believed to be the single largest in Australian ETF history – distorted its industry statistics for August.
“The month’s figures were impacted significantly by very large outflows in a broad Australian ETF from iShares, which recorded net outflows of close to $1bn for the month,” it said.
After growing in July, assets under management fell 0.2 per cent to end August at $130bn.
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