Large corporate bond parcel sizes in Australia are deterring SMSF investors from playing in this space, with many opting for exchange-traded funds (ETF) instead, according to an investment firm.

The percentage of SMSFs using exchange-traded funds (ETF) has more than doubled over the past five years, while total assets invested in ETFs by SMSFs have quadrupled, according to a new Class report.

BlackRock is proposing to restructure its cross-listed iShares exchange-traded funds (ETF) as Australian funds to reduce administration for SMSF trustees and advisers.

Vanguard will begin trading two new active factor exchange-traded funds (ETF) on the Australian Securities Exchange tomorrow, including one that protects SMSF clients against volatility.

BetaShares has announced the launch of what it said is the world’s lowest-cost Australian exchange-traded fund (ETF) with a 0.07 per cent a year management fee.

The restrictive nature of dealer group approved product lists (APL) is the major reason more financial planners are not recommending the use of exchange-traded funds (ETF) for their clients, according to an industry forum.

Despite the popularity of exchange-traded funds (ETF) in the SMSF sector, trustees continue to require education and guidance on the use of these investment instruments, a technical expert has said.