Singapore-based investment company Temasek has agreed to invest up to A$300m ($198m) in Australian financial services provider Betashares for a minority stake.
The other shareholders of Betashares are the company’s staff members and TA Associates.
Founded in 2009, Betashares is engaged in helping Australians build their wealth. As an Australian fund manager specialising in exchange-traded funds (ETFs), the firm is said to serve thousands of advisers and over one million investors.
It currently manages over A$38 billion in assets.
Betashares said that that the investment from Temasek follows a period of strong growth, aligning with its long-term vision to build a leading, independent financial services business. This investment will help continue offering a wide range of solutions to assist Australians in achieving their financial goals, said Betashares.
Betashares founder and CEO Alex Vynokur said: “Since founding the business 14 years ago, we have developed a leading position in Australia’s ETF industry.
“We have worked hard to expand the range of high-quality investment solutions available to investors and their financial advisers, democratised access to wealth creation opportunities for our clients, and improved the range of genuine educational content, emphasising the power of long-term investing.”
Vynokur expects the investment by Temasek to help expedite Betashares’ next phase of our journey, organically and via acquisitions and strategic investments.
Over the past three years, Betashares is said to have sustained robust organic growth, highlighted by receiving the highest level of inflows among all ETF managers in Australia in 2023. During this period, it introduced Betashares Direct, a retail investment platform designed to help self-directed investors build long-term wealth.
The company also announced plans to enter the Australian superannuation industry. In line with this, the firm reached an agreement in September 2023 to acquire the superannuation business of Bendigo and Adelaide Bank as part of plans to broaden its offerings beyond ETFs.
