Betashares Australian Major Bank Subordinated Debt ETF (ASX:BSUB): Floating-Rate Subordinated Debt From Four Major Banks

Sonal Goyal

13 October 2026 06:37 PM AEDT

Betashares Australian Major Bank Subordinated Debt ETF (ASX:BSUB): Floating-Rate Subordinated Debt From Four Major Banks

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Key Highlights

The fund holds 13 floating-rate subordinated bonds, with the top ten at 82.98%.
All holdings are issued in Australia, and bonds make up 100% of the portfolio.
The management fee is 0.29% and the fund size is $855.69 million.
The October 2026 distribution of $0.116 is lower than the $0.117 paid in September.

Betashares Australian Major Bank Subordinated Debt ETF (ASX:BSUB) aims to track the performance of the Solactive Australian Major Bank Subordinated FRN Index, before fees and expenses. The fund was admitted to the ASX on 8 May 2024 and last traded at $25.62 on 13 October 2026. It reports a fund size of $855.69 million and sits in the Unconstrained Fixed Income category.

Detail	Information
Ticker	ASX:BSUB
Fund	Betashares Australian Major Bank Subordinated Debt ETF
Category	Unconstrained Fixed Income
Benchmark	Solactive Aus Major Bank Sub FRN TR AUD
Fund size	$855.69 million
Management fee	0.29%
Total holdings	13
ASX admission date	8 May 2024

Issuer concentration

The ten largest positions represent 82.98% of the fund, and all are subordinated notes issued by the four major banks. ANZ Group Holdings (6.2699%) leads at 10.20%, followed by Westpac Banking Corporation (5.801%) at 9.30% and Australia and New Zealand Banking Group (5.8442%) at 9.06%.

Commonwealth Bank of Australia holds three positions (8.33%, 8.28% and 7.16%), National Australia Bank two (8.24% and 8.17%), a second Westpac note 7.41% and a second ANZ Group note 6.78%.

Asset allocation and geography

Bonds account for 100% of the fund, with no cash allocation, compared with 5.07% for the category. Australia represents 100% of the portfolio, against 36.42% for the category.

The fund's index is a floating-rate note index, so the coupon on each security resets rather than staying fixed.

Fee, risk and distributions

The management fee is 0.29% a year. The fund reports a beta of 0.10 and a standard deviation of 0.73. BSUB pays monthly, and the interim distribution of $0.116 per unit had an ex-date of 1 October 2026, a record date of 2 October and payment on 16 October, equal to an annual yield of 4.89%.

That is lower than the $0.117 paid in September, but higher than the $0.115 in August, $0.110 in July and $0.099 in June.

Category classification and liquidity

Morningstar places the fund in the Unconstrained Fixed Income category, which covers funds investing primarily in a broad scope to build portfolios with little reference to traditional bond indices, which can include government bonds, corporate debt, securitised bonds, sub-investment grade debt, emerging-market debt, private debt and hybrid securities.

Liquidity indicators add a further view. There are 33,399,458 units on issue, and average daily trading volume is 58,454 units. Over the five sessions from 7 to 13 October 2026, daily volume ranged from 21,100 to 56,900 units, with 41,240 recorded on 13 October while the market was still open. The bid-offer range stood at $25.61 to $25.62, and the day range at $25.60 to $25.62. These figures change through the trading day and reflect market activity rather than the fund's holdings.

Recent announcements

The issuer lodged the Units on Issue Disclosure for September 2026 on 6 October, a DRP Issue Price and Final Distribution Announcement on 1 October, an Estimated Distribution Announcement on 29 September and the Annual Report on 25 September.

Closing Perspective

BSUB concentrates on subordinated debt from the four major banks, with 13 holdings and no other asset class. Its monthly distribution edged down to $0.116 from $0.117 in September. These facts describe the structure and do not forecast outcomes.

FAQs

Q: What does Betashares Australian Major Bank Subordinated Debt ETF (ASX:BSUB) invest in?

A:It invests in floating-rate subordinated bonds issued by Australia's major banks.

Q: What is the management fee for ASX:BSUB?

A:The management fee is 0.29% a year.

Q: How many holdings does the fund have?

A:The fund holds 13 securities.

Q: How often are distributions paid?

A:Monthly, most recently $0.116 per unit payable on 16 October 2026.

Q: How large is the fund?

A:The fund size is $855.69 million.

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