Stock in Commonwealth Bank of Australia (CBA) was the most purchased by advised SMSFs with balances over $3 million in May, according to the latest monthly stock trade data from Australian Investment Exchange (AUSIEX).
“Advised SMSF investors still selected some banks, such as CBA, along with a wider range of industrials,” AUSIEX strategic relationships national manager Chris Hill said.
“Overall, advised SMSFs appeared to suggest their clients rely on a range of blue-chip shares, including ones expanding into data centres such as Nextdc.”
Wesfarmers, Woodside, BHP and Brambles were the next most popular stocks for high net worth SMSFs, followed by Fortescue, Healius, Supply Network, Nextdc and the VanEck Australian Equal Weight ETF.
Nextdc is an Australian data centre service provider with operations in every major Australian centre and has recently announced the launch of new sites in Asia, including in Tokyo and Kuala Lumpur. Its facilities are purpose built for artificial intelligence-scale performance and its share price dropped to $9.40 in April, but recovered to just over $13 in May.
“These [high net worth] investors also demonstrated a move away from index-weighted exchange-traded funds (ETF) to an equal-weighted ETF in the VanEck Australian Equal Weight ETF,” Hill said, adding many SMSF investors sold out of physical gold, Fortescue and the Pengana Private Equity Trust.
However, CBA did not feature on the list of most bought stocks by overall advised SMSFs, with Macquarie Group, followed by Westpac, Brambles, BHP and Nextdc, being their top five most traded stocks.
CBA was instead on their most sold list, along with Woolworths, ASX, Telstra, the Magellan Infrastructure Fund and ANZ.
The top three bought stocks of retail non-advised SMSFs were all resource stocks.
“Direct SMSF investors bought local resources leaders, such as BHP and Woodside, along with Fortescue and Mineral Resources,” Hill said.
“Banks were less favoured by direct investors than they have been previously.”
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