ETF specialist joins BetaShares as Director of Institutional Business
Australian ETF manager, BetaShares, has announced the appointment of Dan Annan to the newly-created role of director of institutional business.
In this role, Annan will be responsible for leading BetaShares’ activities with institutional investors and will work closely with the firm's co-heads of distribution, Peter Harper and Vinnie Wadhera.
Annan joins BetaShares from BlackRock Investments, having worked in various roles across the business in the US, including iShares Private Wealth Management, Capital Markets, the Fixed Income ETF team and, most recently, driving the iShares Institutional sales effort in Australia and New Zealand.
Alex Vynokur, CEO of BetaShares, said of Annan's appointment: “We are thrilled to have Dan leading our Institutional strategy...The industry is maturing rapidly in Australia, with institutions using ASX-traded ETFs increasingly frequently for a range of portfolio applications. We are confident that such institutional usage will only continue to grow over time, and we are positioning ourselves to meet the demand.”
"Exciting times ahead": Q&A with Dan Annan, BetaShares' new Director of Insto Business
- How does the growth of ETFs in the Australian market compare to that of the US?
The Australian ETF market is a great place to be working and I believe the potential for growth is significant.
The US ETF market is the global leader in terms of maturity, usage, and funds under management – with the US industry currently sitting at ~USD $3.5 trillion. Our local industry is clearly much smaller at just under A$40B, however, its growth has been rapid, recording approximately 40% growth over the last 3 years, for example.
"Where we are now in the Australian market, reminds me of the early growth years in the US"
As a participant in some of the fast growth of the US industry and a firsthand witness of how institutional investors, in particular, can drive industry growth, I am looking forward to working with the Australian institutional market to learn more about local challenges, and share best practice off-shore ideas to support local growth and adoption. In many ways, where we are now in the Australian market, reminds me of the early growth years in the US, which points to very exciting times ahead!
- How is marketing ETFs to institutional investors different to marketing them to retail investors?
The key benefits of ETFs that drive institutional use are similar to those that appear to a retail investor: diversification, liquidity and cost-effectiveness. That said, the institutional investor has more tools in their tool-kit (i.e. the ability to use derivatives such as futures or swaps) than retail investors. Thus, for the institutional investor, the conversation is about the benefits of ETFs alongside their existing tool kit - and giving them a framework to evaluate ETFs to make an informed decision that will help to meet their investment objectives.
Institutional ETF Specialist
Director – Institutional Business