Weekly Market Monitor – Week Ending 28 October 2022

• Ethereum ETFs were the top performers last week, as ether had its biggest weekly rally in three months. The rally was driven by greater speculative interest as markets anticipate fewer aggressive rate hikes from the Federal Reserve. Global X 21Shares Ethereum ETF (EETH) is Australia’s only ETF that’s 100% backed by ether.
• The bottom performers overwhelmingly focussed on China (IZZ, ASIA, CETF, CNEW, IAA, PAXX). The China dip was driven by the market’s reaction to the re-appointment of Xi Jinping.
• There were $388 million in reported inflows. The biggest winners were currency hedged ETFs (IOO, Q, IHVV, QHAL) suggesting Australian investors believe the Aussie dollar has bottomed out.
• There were $174 million in reported outflows, meaning the industry saw another net inflow week. Many of the ETFs that were hit with outflows had currency hedged versions of themselves see inflows (IOO, IVV, GOLD). This also suggests investors believe the Aussie dollar could rise.
• Trading volumes saw both the Global X Ultra Long Nasdaq 100 Hedge Fund (LNAS) and the Global X Ultra Short Nasdaq 100 Hedge Fund (SNAS) come in the top 10 most traded ASX-listed funds. LNAS and SNAS have surged in popularity this year as investors look to trade the volatility in the US tech sector.

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