State Street loses biggest ETF title

State Street has surrendered its title as the issuer of Australia's largest ETF, as investors withdrew more than $130 million net from its exchange traded products in July.

The SPDR S&P/ASX 200 [ASX: STW] fell to $3.9 billion after about $170 million of outflows during the month.

Stepping into the top spot is another Australian equities ETF.

Fee cuts working

Vanguard Australian Shares Index (ASX:  VAS) picked up $97 million in inflows during the month after dropping its fees in late June, making it the largest ETF with about $4.06 billion at July end.

Australian equities ETFs have seen fierce price competition recently.

Vanguard and BlackRock iShares both dropped the fees on their offerings in the segment, following BetaShares which launched the cheapest exposure last year.

Vanguard and BlackRock's June fee cuts on core Aussie equities products yielded $97 million and $42 million in fund inflows for the month of July, ASX data on exchange traded products shows.

Good month for gold ETFs

Gold ETFs also had a good month as prices jumped, even though commodity ETFs haven't been popular with investors.

ETF Securities' physical gold ETF (ASX: GOLD) recorded the highest inflows with $48 million entering the fund during July.

This was followed by Perth Mint and BetaShares's gold commodity ETFs which saw $13.4 million and $9.7 million of new money come into the ETFs.

Exchange traded products stood at $53 billion at July end while LICs stood at $347.5 billion.

Read more: State StreetVanguardBetaSharesBlackRockETF SecuritiesPerth MintSPDR
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