VanEck gains market share from rivals with quality products

Sydney, 15 March 2022 – VanEck has grabbed market share during February, and has experienced significant growth in its assets under management (AUM) over the year, with investors pouring funds into its leading smart beta exchange traded funds (ETFs).

During February 2022, VanEck won 30.5% of inflows into the exchange traded products (ETPs) market, as its AUM growth continues to outpace its competitors. In the last year alone, VanEck’s AUM has grown by 58% to $9.55 billion, with heavy inflows into its fastest growing ETF, the VanEck MSCI International Quality ETF (QUAL). VanEck has 30 ETFs listed on the ASX, up from 25 at the beginning of 2021.

_{Source: ASX as at 28 February 2022. Total refers to the top 5 passive ETF issuers on ASX.}

Arian Neiron, VanEck's CEO and Managing Director - Asia Pacific, said: “The high level of inflows is a significant achievement for VanEck, as investors buy into our quality products and sell-down holdings in some riskier ETFs. VanEck has significantly expanded its product offering to strengthen our market position, helping us to draw around 30% of all inflows into the ETP market in February.

“This year will bring further momentum and investment in VanEck ETFs, as investors demand their investment managers work harder to create wealth in the face of rising inflation and volatile markets. Our ETFs provide full transparency and exposure to specific investment outcomes which can potentially deliver, for a low cost, robust returns even in these very challenging economic times.

“VanEck smart beta strategies are winning broad recognition. Morningstar Australasia recently recognised VanEck as Australia’s leading global equities fund manager, with the VanEck MSCI International Quality ETF (QUAL) being named winner of the 2022 Fund Manager of the Year: Global Equities category,” said Neiron.

In the last year, VanEck launched the first global listed private equity ETF (GPEQ) and the first clean energy ETF (CLNE) on ASX, along with the VanEck MSCI International Small Companies Quality ETF (QSML), the VanEck MSCI International Value ETF (VLUE) and the VanEck Bentham Global Capital Securities Active ETF (Managed Fund) (GCAP).

“We expect the ETP market is still on track to grow to $160 billion in Australia by the end of 2022. Despite the heightened risk and increasing volatility, investors and advisers will continue to use these vehicles because of their superior liquidity, transparency and price discovery. ETFs have now shone through a number of market stress scenarios.

“We caution investors to look under the bonnet of their ETF investment strategy and ensure that they are based on tried-and-true philosophies and are best-in-class investment pedigree,” said Neiron.