Betashares Australian Major Bank Subordinated Debt ETF (BSUB) Review & Analysis
- +0.2% in September (total return), ahead of the median Australian bonds ETF at −0.4%.
- Investors added a net $46m (5.7% of the fund). That ranked #43 of 508 ETFs for new money.
- The unit price closed the month at $25.66, 0% below its 12-month high (range $25.50 to $25.78).
About BSUB
BSUB holds subordinated debt issued by Australia's major banks. Subordinated debt, known as Tier 2 capital, ranks below ordinary bonds and deposits but above hybrids and shares if a bank gets into trouble. BSUB tracks an index of these securities, is passively managed, and the holdings mostly pay floating rates of interest.
In practice BSUB pays a margin above senior bank bonds in return for that lower ranking. Because the coupons are floating, the unit price is not very sensitive to interest rate changes, while income rises and falls with official rates. The main risk is credit: in times of banking stress, prices can fall as investors demand more margin. The fund is entirely concentrated in a handful of large Australian banks. Income is paid monthly and is unfranked, and there is no currency risk.
BSUB is often used for extra income in a defensive allocation, and some investors look at it as a possible home for money coming out of bank hybrids. Alternatives include MQSD, SUBD and BHYB; see SUBD vs BSUB and BSUB vs BHYB.
BSUB distributions and dividend dates
BSUB pays distributions monthly, with payment about 15 days after the ex-date. (Pattern estimated from recent payments.)
The latest distribution was $0.1218 per unit (0% franked), ex-distribution on 2 November 2026 and paid on 17 November 2026. To receive it you need to own BSUB before the ex-date.
Its distribution yield over the past 12 months is about 5.0%. Distributions vary and past payments are not a guide to future ones.
From ASX announcements, updated nightly. See every ETF in the dividend calendar.
Compare BSUB with
| Fee | 0.29% | 0.29% |
| 1 year | +4.8% | +5.1% |
| 5 yrs p.a. | – | +4.2% |
| Size | $857m | $4.0bn |
| Fee | 0.29% | 0.29% |
| 1 year | +4.8% | +5.4% |
| 5 yrs p.a. | – | – |
| Size | $857m | $1.1bn |
| Fee | 0.29% | 0.35% |
| 1 year | +4.8% | +4.1% |
| 5 yrs p.a. | – | +3.6% |
| Size | $857m | $674m |
| Fee | 0.29% | 0.29% |
| 1 year | +4.8% | – |
| 5 yrs p.a. | – | – |
| Size | $857m | $121m |
BSUB price by TradingView
| Stock Code | BSUB |
|---|---|
| Fund Manager | Betashares |
| Asset Class | Australian bonds |
| AUM | $857m |
| MER (%) | 0.29% |
| Net flows (Sep) | +$46m |
| Last Price | $25.66 |
| 52-Week Range | $25.50 – $25.78 |
| Bid/Ask Spread | 0.06% |
| Listing Date | 08/05/2024 |
| Exchange | ASX |
| Index | Not yet in our data. See the PDS |
| Issuer website | Betashares ↗ |
Performance (% return)
$10,000 invested…
Value at 30 September 2026 with distributions reinvested, before tax and brokerage.
Total returns including distributions, to 30 September 2026. 1M, 1Y, 3Y and 5Y bars are cumulative.
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