POWERED BY MOMENTUM MEDIA
Betashares ventures into super industry with acquisition
ETF provider Betashares has announced it has reached an agreement to acquire Bendigo and Adelaide Bank’s superannuation business, marking a “transformational step” for the firm.
It is expected to complete in 2024, subject to regulatory approvals.
Currently Bendigo Superannuation has assets of $1.4 billion and more than 19,000 members.
According to Betashares, the acquisition is the first major initiative as part of a longer-term strategy to expand the business into the broader financial services sector.
“We are privileged to serve over one million Australian investors and their financial advisers today. Over the course of the next decade, we have a vision for the firm to continue developing into a leading, independent Australian financial services business,” said Alex Vynokur, chief executive.
“We are driven by our vision to help Australians achieve financial progress and we are motivated to bring more client focus, education and genuine innovation into the Australian superannuation industry.”
The Australian superannuation system is forecast to grow to over $9 trillion by 2041. It is presently the fourth largest pension market globally with over $3.5 trillion dollars in assets.
Vynokur noted: “For most Australians, superannuation is the largest asset outside of the family home and plays a key role in each Australian’s wealth journey and retirement outcomes.
“As such, while ETFs will always remain the bedrock of our business, we are equally determined to bring our ethos of diversification, cost effectiveness, investor education and engagement into the superannuation sector, and it is a natural next step in our growth strategy.
“We have been actively exploring entry strategies for some time, and have a long-term plan to significantly invest in building our superannuation presence.”
As of September 2023, Betashares manages over $30 billion in assets.
It is the largest ETF provider in Australia with 35 per cent of market share, ahead of Vanguard (28.9 per cent) and iShares (21.8 per cent) as of August 2023.
AUTHOR
Rhea Nath
Rhea L Nath is a journalist on Super Review and InvestorDaily, with a focus on funds management, superannuation, and institutional investment. Previously, she covered small business and entrepreneurship news at Dynamic Business and multicultural issues at Indian Link Media Group. In 2022, she was named Young Journalist of the Year at the NSW Premier’s Multicultural Communications Awards.
Recommended for you
The deputy governor has warned that, as super funds’ overseas assets grow and liquidity risks rise, they will need to expand their FX hedge books to manage currency exposure effectively.
Super funds have built on early financial year momentum, as growth funds deliver strong results driven by equities and resilient bonds.
The super fund has announced that Mark Rider will step down from his position of chief investment officer (CIO) after deciding to “semi-retire” from full-time work.
Rest has joined forces with alternative asset manager Blue Owl Capital, co-investing in a real estate trust, with the aim of capitalising on systemic changes in debt financing.
TOP PERFORMING FUNDS
ACS FIXED INT - AUSTRALIA/GLOBAL BOND
Fund name
3y(%)pa
1
DomaCom DFS Mortgage
76.97 3 y p.a(%)
2
Global X 21Shares Bitcoin ETF
76.46 3 y p.a(%)
3
UBS Solactive Global Pure Gold Miners UCITS ETF Dis USD
51.13 3 y p.a(%)
4
Global X GlobalX FANG+ ETF
45.15 3 y p.a(%)
5
Select Baker steel Gold Institutional
43.78 3 y p.a(%)
