Assets under custody in Australia rise by 8.0% in December half, hitting record high of $5.4T

New data from the Australian Custodial Services Association (ACSA), the peak industry body for custodians and asset service providers in Australia, revealed an 8.0 per cent rise in assets under custody in the six months to 31 December 2024.

Markets maintained strong momentum in the second half of 2024, with assets under custody reaching a record high of $5.44 trillion in December. The milestone comes as ACSA celebrates its 30th anniversary in 2025.

Individual custodians fared differently throughout the period due to industry consolidation, continued movement in custody assets and strong market growth.

Australian investors increased their allocation to overseas assets by 11.8 per cent to $1.98 trillion during the half, with Australian-domiciled investments increasing 4.3 per cent to $3.41 trillion. Assets held in Australia on behalf of offshore investors (sub-custody assets) increased by 6.3 per cent to $2.3 trillion.

For the first time, asset servicing providers in Australia managed over $6 million assets under administration, reaching $6.16 trillion as at 31 December 2024 - up 5.6 per cent. They also settled 12.5 million trades in the six-month period, an increase of 9.6 per cent compared to the previous period. On average, ACSA members settled approximately 95,950 trades per day on behalf of clients.

ACSA Chief Executive Officer David Travers said the association has remained active in responding to ongoing market and regulatory change over the past six months 

“In the December half, investors continued to increase their offshore allocations to take advantage of investment opportunities and ongoing market momentum. Locally, while total asset levels reported by ACSA saw positive growth, market consolidation and client transitions have resulted in changes to individual custodians’ reported assets under custody and administration.

“ACSA and its members remain focused on responding to regulatory changes and evolving market frameworks, including the global moves toward T+1, continued support for the ASX CHESS replacement program, and local discussions on T+1. We have also maintained a strong focus on thought leadership and member development.

“Innovation, industry engagement, and best practice solutions remain a critical focus for driving efficiency in custody and investment administration. Through our working groups and dedicated industry volunteers, ACSA remains well placed to address the opportunities and challenges in the year ahead,” Mr Travers said.

A full copy of the ACSA data for the December 2024 can be found at: https://acsa.com.au/page/IndustryStatistics

Media enquiries  
Nick Owens 
Sefiani Communications Group 
0421 977 062
nowens@sefiani.com.au 

About the Australian Custodial Services Association (ACSA) 

The Australian Custodial Services Association (ACSA) is the peak industry body representing members of Australia’s custodial and investment administration sector. ACSA was established in 1994 with the mission of promoting systemic efficiency and international best practice for members, clients, and the market. ACSA works with peer associations, regulators, and other market participants on a pre-competitive basis to encourage standards, process consistency, market reform and operating efficiency